Deutsche Bank AG invited banks to pitch for roles on the IPO of its asset management division, Reuters reported Oct. 17, citing "two people close to the matter."
The German lender will most probably act as the main organizer of the IPO, but is looking for assistance to market the shares, according to the sources. Barclays, Credit Suisse, Goldman Sachs and other banks that worked on Deutsche Bank's capital increase earlier in 2017 have a good chance of securing roles in the IPO, they added.
Deutsche Bank will soon begin meeting representatives of other investment banks to get their view on the division, which includes its retail asset management unit DWS, the sources added. The lender wants the banks to specify any potential concerns over the asset management arm's attractiveness to equity investors, valuation method, the timing of the deal and possible buyers of the stock, according to Reuters.
Earlier in October, the lender reportedly made some changes to the senior leadership team of the division, naming Pierre Cherki and Stefan Kreuzkamp co-heads of the investment unit within asset management.
Currently, Deutsche Asset Management has €711 billion in investments globally, of which €526 billion are actively managed, €107 billion are in exchange-traded funds, and the rest are in alternatives. An IPO could raise approximately €2 billion.