Liberty Financial is expected to release the terms of its initial public offering on Thursday, according to sources.
The company will hold up to 40 meetings with prospective institutional investors, starting from Thursday and the institutional book build will be launched on Wednesday.
As reported by The Australian this week, Liberty Financial is forging ahead with plans to list as a business with a market value worth $1.8bn.
Working on the listing is Credit Suisse, along with retail brokers Evans and Partners and Shaw and Partners.
Market analysts expect much of the stock to be taken up by retail investors, although it is thought that a handful of institutional investors have agreed to take small cornerstone stakes in the company, with a 20 per cent interest in the business on offer.
Sources said Liberty’s cash net profit was expected to be $160m-$170m in 2020-21, which could give it a market capitalisation of more than $1.8bn, depending on how investors value Liberty versus comparable ASX companies.
Liberty was founded by now US-based Sherman Ma in 1997, after he worked at Credit Suisse and McKinsey & Company. He remains an executive director, with the chief executive being James Boyle.
Analyst research this week points to an expected adjusted net profit of $165.6m for Liberty in 2020-21, up from $142m in the previous corresponding period.
It is understood that the three existing shareholders will retain some interest in the business once listed.
Founder and largest shareholder Sherman Ma will retain all of his holding in the business.
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