About Pacific Current Group
Pacific Current Group is a multi-boutique asset management business committed to seeking out and partnering with investment managers. It combines capital - offered through economic structures - with strategic business development and a network of consultant and client relationships to help businesses climb higher.
Pacific Current Group Headquarter Location
Level 29 259 George Street
Sydney, New South Wales, 2000,
+61 2 8243 0400
Latest Pacific Current Group News
Aug 31, 2021
Share Global equities tearaway GQG Partners is set to make a stunning pitch to Australian investors for a $5 billion-plus listing on the ASX, in a deal that could also help it take on Hamish Douglass’ Magellan Financial Group. Street Talk can reveal GQG Partners will tell its high-octane story to Australian fund managers for the first time next week, ahead of an initial public offering slated for the December quarter. GQG Partners chairman and CIO Rajiv Jain is expected to make his maiden pitch to potential Australian investors next week. Pat Scala The stockpicker, which runs four global equities investment strategies from its headquarters in Florida, was set up by Rajiv Jain, a former money manager at Swiss firm Vontobel Asset Management, in 2016. In the five years since, Jain’s GQG Partners has grown its funds under management to $US84.7 billion ($116 billion). It has picked up money from more than 1000 institutions globally, including Australia’s AustalianSuper, Rest Super and Cbus, and would use an ASX-listing to try to build its brand with Australian financial advisers and retail investors. GQG Partners’ deliberations come after it almost doubled funds under management in the past 12-months, to be of a similar size to Australia’s Magellan, which was founded 15-years ago by former investment bankers Douglass and Chris Mackay. Related Quotes Advertisement The manager recorded $US250 million ($342.5 million) EBITDA in the past 12-months with about a 75 per cent EBITDA margin, maintained by the fact it’s majority owned by founders and staff who are remunerated via their ownership, rather than with big cash bonuses. Pacific Current connection GQG Partners’ other Australian connection, in addition to AustralianSuper and co, is the group’s CEO Tim Carver. Carver formerly ran ASX-listed boutique funds investor Pacific Current Group. (Pacific Current is also one of GQG Partners’ few external shareholders, owning a 5 per cent stake). Former Pacific Current boss Tim Carver now runs GQG Partners. AFR The big question for potential investors is why GQG Partners wants to list on the ASX. It’s expected to argue its management team, headed by Carver, knows the ASX regulatory/compliance regime, as well as some of the Australian market’s biggest investors, who are clients. The ASX could also help boost GQG Partners’ profile in Australia, at a time when it wants to substantially increase its Australian retail investor base and brand profile. GQG Partners is expected to be pitched as a global equities disruptor, which had the chance to start with a blank sheet of paper mid last decade and design products and a team that were fit for the times. Its strategies include emerging markets equities, international equities (all markets except the US), global equities (all markets including the US) and US equities. Advertisement Jain oversees each of the strategies. Next week’s meetings are understood to be non-deal in nature, meaning GQG Partners would have to come back and put a proposed offer to potential investors later this year. UBS and Goldman Sachs are joint lead managers to the IPO. GQG Partners would need to sell shares worth at least 20 per cent of the company to be included in the benchmark S&P/ASX 200 index, which would imply a $1 billion-plus raising. Potential investors would be expected to compare it to Magellan, whose shares are trading at 16-times historical EBITDA. GQG Partners would argue it’s much more valuable, given its growth profile. Similar growth stocks could include Pinnacle Investment Management and Netwealth, which is not an asset manager but has similar exposures and growth. They trade at 32.5-times and 40-times EBITDA respectively, according S&P Global Markets Research data. Get a first look at tomorrow's headlines Sign up to the Street Talk First Look newsletter
Pacific Current Group Team
1 Team Member
Pacific Current Group has 1 team member, including former Managing Director, Jack Swift.