by Joyce Moullakis
Commonwealth Bank of Australia has tapped Mirvac chairman and banking stalwart John Mulcahy to lead the push for an ASX listing of its $219 billion global asset management unit this year.
Mr Mulcahy is lining up as chairman of Colonial First State Global Asset Management after CBA concluded the strategic review of the business, deciding a listing was the best option.
In a statement on Tuesday, the Sydney-based bank said it would pull the trigger on an initial public offering of CFSGAM after assessing factors including business growth, shareholder value and the unit's ability to "attract and retain" key staff.
"While CFSGAM has achieved significant growth, scale and diversification under the current ownership structure, the strategic review determined that an independent ownership model would provide greater benefits," the statement said.
"Accordingly, Commonwealth Bank intends to pursue an initial public offering of CFSGAM on the Australian Securities Exchange by the end of calendar year 2018, subject to market conditions and necessary approvals."
Advertisement Related Quotes
May14GMT+1000 (AUS Eastern Standard Time)Apr13Apr1870809066.51492.438
Last updated: Tue Apr 17 2018 - 6:20:52 PM View full quote
ASX Announcements Expand
Column 1
Column 2
Column 3
0
1
2
3
4
The bank has got a well-known line up of directors on hand for its mooted listing. Mr Mulcahy joined Mirvac as a non-executive director in 2009 and became chairman in 2013.
He is perhaps better known for his time as chief executive of banking and insurance giant Suncorp. He also held various roles at CBA including group executive of investment and insurance services.
Other non-executive directors include Susan Doyle, James Millar, Gail Pemberton and Richard Wastcoat.
CBA's statement said additional directors could be approached to join the board ahead of the potential IPO, and Mark Lazberger will continue as CFSGAM chief.
As at December 31, CFSGAM managed $219 billion of assets on behalf of institutional investors, pension funds, wholesale distributors, investment platforms, financial advisers and their clients.
