Colonial First State Global Asset Management (CFSGAM), known as First State Investments outside Australia, is undergoing a strategic review, with the possibility of a listing on the Australian Securities Exchange.
Its parent, the Commonwealth Bank of Australia (CBA) – the nation’s largest bank – announced today that the review will consider a range of options, including an initial public offering, and is due to be completed by the end of the year.
CBA said the review will consider long-term CBA shareholder value, including whether a separately-listed CFSGAM would be better able to grow its business, service the interests of its clients and attract and retain key personnel.
It has been estimated that, as a listed entity, the asset management company could be worth upwards of AUD4bn (€2.7bn).
CFSGAM runs a global diversified investment management business, with AUD219bn in assets under management, including listed and unlisted infrastructure, on behalf of some of the world’s largest institutional investors.
It has a number of infrastructure investment vehicles, including the 15-year European Diversified Infrastructure Fund (EDIF), and manages unlisted infrastructure assets valued at more than AUD7.2bn, making it one of Australia’s largest managers of infrastructure.
CBA said that, under its ownership, CSFGAM had achieved “significant growth, scale and diversification”.
