Carlyle Group LP (CG:US), the Washington- based private-equity firm, is seeking to raise as much as $762.5 million in its initial public offering, according to a person with knowledge of the matter.
About 30.5 million shares will be offered at $23 to $25 each, said the person, who declined to be identified because Carlyle has yet to release terms of the IPO. The company plans to file an updated prospectus as soon as today, the person said. The firm has already said the stock will list on the Nasdaq Stock Market under the symbol CG.
Carlyle, which has considered an IPO since 2007, would be valued at $7 billion to $7.6 billion after the sale, the person said. The firm follows competitors Blackstone Group LP (BX:US), Apollo Global Management LLC (APO:US) and Fortress Investment Group LLC (FIG:US) in selling shares to the public. Those companies have declined since their offerings, and Oaktree Capital Group LLC (OAK:US), the world’s largest distressed-debt investor, dropped in its debut after raising less than it sought in its April 11 IPO.
Oaktree carried out the first IPO by an alternative-asset manager since Apollo sold stock last year, raising $380.2 million. The Los Angeles-based firm sold 8.84 million shares for $43 each, the bottom of its proposed range. Oaktree said it will pay Howard Marks and Bruce Karsh, two of its co-founders, almost 40 percent of the proceeds.
Carlyle plans to offer about 10 percent of its stock in the offering, the person said. Founders William Conway, Daniel D’Aniello and David Rubenstein won’t sell any of the shares in the firm they founded in 1987, a person with knowledge of the matter said this month. Owners including the California Public Employees Retirement System and Mubadala Development Co., an investment company controlled by the Abu Dhabi government, also plan to keep their stakes, the person said.
A spokesman for Carlyle declined to comment. The Washington Post reported the terms of the IPO yesterday.
JPMorgan Chase & Co. (JPM:US), Citigroup Inc. (C:US) and Credit Suisse Group AG (CS:US) will lead the IPO, according to regulatory filings. Carlyle also hired Bank of America Corp., Barclays Plc, Deutsche Bank AG, Goldman Sachs Group Inc., Morgan Stanley, UBS AG and 12 others to help with the sale.
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