Netwealth has lodged a prospectus with the Australian Securities and Investments Commission (ASIC) for an initial public offering (IPO) and listing on the Australian Securities Exchange (ASX), with trading expected to commence on 20 November.
The platform provider for the wealth management industry was offering around 71.3 million shares at the offer price of $3.70 per share, and was expected to raise around $264 million. The firm would list with a market capitalisation of around $879.2 million.
The IPO, which has been in the offing since at least the first half, would comprise a retail offer, consisting of broker firm, platform priority, general priority, and employee offers, and an institutional offer.
In connection with the offer, Netwealth would be restructured to make Netwealth Group the holding company of Netwealth Holdings, which together with its subsidiaries, operates the Netwealth financial services business.
The restructure would place Netwealth Group as the ultimate holding company.
“The proceeds of the offer will be paid to existing shareholders to fund the cash purchase price of NHL shares under an associated restructure. Existing shareholders will also receive shares in Netwealth Group Limited in connection with the restructure,” the company said in a statement.
Credit Suisse (Australia) and UBS AG, Australia Branch, are joint lead managers for the offer.
Netwealth’s funds under management and administration (FUM/A) reached $15.7 billion by 30 September.
Netwealth was recently rated Australia’s best platform overall by Investment Trends’ December 2016 Platform Competitive Analysis and Benchmarking report, based on analyst reviews of 19 platforms.