NSW-based construction materials, equipment and services company Maas Group is believed to be asking investors to pay a price that would value the company at between 15 and 16 times its annual net profit.
The company is expected to lock in a price for its IPO as early as Friday, when it is due to release analyst research.
Maas Group is understood to have been embarking on a cornerstone process, and meetings with investors for that process started on Monday.
Moelis and Morgans are working on its float plans, which have been on the agenda since last year. Earlier expectations were that the company’s market value could be about $500m once listed.
The company has tangible assets worth $340m, including 20 quarries and a large pipeline of housing lots, which drives demand for services in other parts of its business.
Dubbo-based Maas Group was founded by Wes Maas in 2003 and had been on track to deliver at least $60m of earnings before interest, tax, depreciation and amortisation for the 2020 financial year.
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