Latitude Financial to release research ahead of 2019 IPO

Latitude Financial is planning to release valuation research within days as it readies for a run at the ASX, sources say.

Latitude Financial Services CEO Ahmed Fahour at the head office in Melbourne’s Doclands. Picture: Andrew Henshaw

Consumer finance group Latitude Financial is planning to release within days valuation research ahead of a run at the ASX, according to sources.

Bankers and lawyers are working full steam ahead to get the initial public offering done ahead of the end of the year, in a deal that is designed to give the finance company a market value of about $3.6 billion.

The Australian understands Latitude chief executive Ahmed Fahour has held a number of informal meetings with fund managers in recent weeks, ahead of the official IPO launch.

Investors are of the impression Latitude’s owners want the ASX listing to be priced in the order of 13 times the company’s annual net profit of about $280 million.

A Latitude spokesman wasn’t immediately able to comment.

Goldman Sachs, Macquarie Capital and UBS are mandated on the latest run at the bourse, after a failed attempt last year.

Latitude owners KKR & Co, Varde Partners and Deutsche Bank are hoping this time is different as they embark on the largest IPO of 2019.

Latitude probably will be followed on to the ASX next year by Pepper Australia, owned by KKR Credit Advisors. Citigroup, Macquarie Capital and KKR Capital Markets are said to be front and centre to work on that float.

More to come