Investors have been warned to approach upcoming IPOs with a healthy degree of scepticism as private-equity-owned businesses return to the market at record...

Livewire News

Livewire

Investors have been warned to approach upcoming IPOs with a healthy degree of scepticism as private-equity-owned businesses return to the market at record speeds and prices. More than $6 billion of listings are scheduled for the next three months, in what could make 2013 one of the best years for IPOs in a decade. Pitched at 21 times 2012-13 operating earnings, OzForex's $480 million float next Friday will rank among the most expensive IPOs in Australian history. Other companies currently in IPO talks include Dick Smith, PEP's Spotless Group and Nine Entertainment. Clearly private equity has dressed up assets at times and they don't fulfil all their promises on listing, says Ausbil Dexia CEO Paul Xiradis. The IPO market was effectively shut for three years following the disastrous float of department store Myer in 2009, where investors are still down 35% to date. (VIEW LINK)


Livewire News
Livewire News
Livewire

Livewire News brings you a wide range of financial insights with a focus on Global Macro, Fixed Income, Currencies and Commodities.

Expertise

No areas of expertise

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.

Comments

Sign In or Join Free to comment