Fifth Street Asset Management, a credit-focused alternative asset manager with $5.6 billion in AUM, announced terms for its IPO on Thursday. The Greenwich, CT-based company plans to raise $200 million by offering 8 million shares at a price range of $24 to $26. At the midpoint of the proposed range, Fifth Street Asset Management would command a fully diluted market value of $1.3 billion.
As of June 30, approximately 95% of its AUM was held by two publicly traded companies, Fifth Street Finance (NASDAQ: FSC) and Fifth Street Senior Floating Rate (NASDAQ: FSFR).
Primary shareholders include Chairman and CEO Leondard Tannenbaum and Co-President Bernard Berman.
Two recent asset managers priced IPOs, including Medley Management (MDLY) and OM Asset Management (OMAM).
Fifth Street Asset Management, which was founded in 1998 and booked $88 million in sales for the 12 months ended June 30, 2014, plans to list on the NASDAQ under the symbol FSAM. Morgan Stanley, J.P. Morgan, Goldman Sachs, RBC Capital Markets and Credit Suisse are the joint bookrunners on the deal. It is expected to price during the week of October 20, 2014.
