LONDON, July 21 (Reuters Breakingviews) – Private equity managers aren’t known for leaving lots of money on the table, but UK firm Bridgepoint (BPTB.L) can’t be accused of stinginess with its own floatation. The group raised 789 million pounds from a sale of new and existing shares in a London listing on Wednesday read more . The stock immediately soared more than 30% to around 440 pence, valuing the company led by Executive Chairman William Jackson at around 3.6 billion pounds, before any exercise of the overallotment option.
The market is now valuing Bridgepoint’s shares at around 29 times next year’s earnings, according to a Breakingviews calculation that assumes income rises in line with Bridgepoint’s likely growth in assets to around 126 million pounds by the end of 2022. That’s a small discount to larger, more diversified peer Partners Group (PGHN.S), which trades on a multiple of 33. The appeal is easy to see: there aren’t many listed private equity managers in Europe, and fundraising in the sector is on a tear. With a successful listing under his belt, Jackson’s focus will now be on growing assets, attracting new rainmakers, and looking for potential acquisitions. (By Neil Unmack)