Amundi Said Valued at $9 Billion by Analysts Pre IPO

  • French asset manager said to aim for November Paris listing
  • Amundi may publish offer document as early as Wednesday

Analysts at banks managing Amundi Group’s initial public offering estimate Europe’s largest fund manager should be valued at about 8 billion euros ($9 billion), three people with knowledge of the matter said.

Amundi, which is currently owned by Credit Agricole SA and Societe Generale SA, filed its IPO registration with France’s market regulator, the first step to its listing, the Paris-based company said in a statement on Wednesday. While expanding its business remains the priority, the asset manager may also seek “selective and disciplined” takeovers, it said.

The company plans to complete the IPO by November, said the people familiar, asking not to be identified because the preparations are private.

Amundi is proceeding with the sale after global stock markets slumped in the third quarter, marking their worst performance since 2011, amid concern that China’s slowdown may reduce economic growth elsewhere. BlackRock Inc., the world’s largest asset manager and a likely peer for investors to compare with Amundi, is down 13 percent since June 17 -- the date that plans for the public offering were announced.

Profit Forecast

The company has forecast net income of 515 million euros to 535 million euros this year, an increase of 5 percent to 9 percent from last year. That would value it at about 15 times annual profit. BlackRock’s $51.8 billion market capitalization is almost 16 times the $3.3 billion profit that 10 analysts expect the company to generate this year.

Amundi aims to become a "natural alternative to big U.S. fund managers," CEO Yves Perrier told journalists in Paris on Wednesday.

Investment banks advising on an IPO typically canvass institutional investor interest to help determine the best valuation range for a company before the sale is opened for orders. Amundi was valued at 6.7 billion euros when Credit Agricole bought a 5 percent stake from Societe Generale last year, according to a Les Echos interview with the bank’s Chief Executive Officer Philippe Brassac.

Oudea Confident

Societe Generale in June said it wants to sell its entire 20 percent stake in the company, while Credit Agricole has signaled it wants to remain as Amundi’s largest investor, without indicating how much stock it intends to sell, the people said.

Representatives for Amundi, Credit Agricole and Societe Generale declined to comment.

Societe Generale Chief Executive Officer Frederic Oudea said last week he was “confident” Amundi’s IPO would proceed as planned amid investor appetite for European financial assets. Amundi had 954 billion euros under management at the end of June. Schroders Plc, currently Europe’s largest publicly traded money-manager, had about 310 billion pounds ($472 billion) under management at the end of June, while BlackRock had about $4.2 trillion.

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