Shares in Goldman Sach’s Petershill Partners fell today after the alternative asset manager made its debut on the London Stock Exchange with a market capitalisation of £4bn.
Petershill Partners, which owns minority stakes in 19 private equity, venture capital and hedge funds with a combined $187m of assets under management, sold £1.2bn of stock as it listed as a standalone company in London this morning.
After Petershill had expected to raise £1bn through the IPO, an extra £200m was raised through a “greenshoe” overallotment option designed to offset a share price fall upon listing.
Some existing backers offloaded their shares worth £465m, while Petershill raised £547m selling new shares, the firm said in a statement.
But by lunchtime, shares in the company had dropped as much as 3 per cent to 340 pence per share after opening flat at 350 pence per share – the price Goldman had set for the IPO.
This contrasts with its two recent European private equity IPO predecessors, Bridgepoint and Antin Infrastructure Partners, whose shares both surged more than 25 percent on their trading debuts.
Petershill is operated by the Goldman Sachs Asset Management team, co-headed by Ali Raissi and Robert Hamilton Kelly, and has an independent board.