Amundi says on course for largest IPO of year in Paris
The Paris stock exchange was bracing for its biggest IPO of the year after Europe's largest asset manager Amundi said Monday it would go ahead with a stock listing that could value the firm nearly 9 billion euros.
The shares of the firm, a joint venture of French banks Societe Generale and Credit Agricole, are to be sold at a price between 42 and 52.50 euros, valuing the company at between 7 and 8.8 billion euros ($7.7 billion - $9.7 billion).
The transaction will allow Societe Generale to raise as much as 1.75 billion euros from the sale of its 20 percent stake in Europe's largest asset manager, which ranks ninth globally.
The decision to go ahead with the share listing comes days after music streamer Deezer postponed its planned IPO, citing market conditions.
Shares in Amundi, which had 954 billion euros under management to June this year, are scheduled to start trading on the Paris stock market on November 12.
Amundi "is a European leader with a globally-recognised brand. That has symbolic value for the Paris bourse," said Marc Lefevre, head of listing at Euronext, when the deal was first mooted last month.
Operating in 30 countries and benefiting from access to Societe Generale's and Credit Agricole's networks, Amundi posted first quarter net profits of 274 million euros.
For the year as a whole Amundi is targeting net profit attributable to shareholders of between 515 and 535 million euros, which would be a rise of between five and nine percent from 2014.
As part of the IPO Credit Agricole is set to sell a small stake in Amundi to a unit of Agricultural Bank of China.
© 2015 AFP