EUROPE - F&C, the pan-European asset management company, may be listed on the stock exchange, its parent company Eureko said.
Eureko proposes to retain a majority shareholding following any initial public offering and F&C would continue to be the focus of Eureko's asset management activities.
F&C was acquired by Eureko in 2001 to form the nucleus of Eureko's pan-European asset management operations and to integrate the various local asset management activities of the Eureko Group.
Gijsbert Swalef, Chairman and CEO of Eureko said: The acquisition of F&C has been a great success for Eureko. Our clients have benefited from the greater scale and breadth of capabilities, whilst F&C's profitability has increased significantly despite the declines in global markets in recent years.
Our philosophy has been to treat F&C as an autonomous business within the Eureko Group. A listing is therefore a natural and logical next step and we continue to back F&C's ambitions to build a leading pan-European asset management company. A listing of F&C would also assist in setting a more transparent valuation of Eureko ahead of its own IPO.
Robert Jenkins, CEO of F&C said: F&C is one of the few asset management organisations focused on the pan-European marketplace. A listed subsidiary is a model which has worked well for other asset managers and is one which should help us take advantage of opportunities to develop the business further for the benefit of our clients, shareholders and employees. It is an exciting prospect and one which the management team fully supports.
No timetable has yet been set for a listing of F&C, which will be dependent, amongst other things, on market conditions. Lexicon Partners Limited is acting as financial adviser to Eureko.
As at 31 December 2003, F&C had total assets under management of approximately e90bn (£64bn) and employed 437 staff. In the year ended 31 December 2003 F&C had revenues of approximately e200m (£140m), two-thirds of which were sourced from Continental Europe.
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