DECEMBER 22 (Reuters) – Canada’s CI Financial Corp said on Thursday its US unit had filed confidentially for an IPO in the United States, more than eight months after the wealth management firm announced plans to spin off.
The move comes amid a tough year for IPOs as financial markets were rattled by the Federal Reserve’s rate hike campaign and recession fears.
On the Nasdaq alone, capital raised through listings has fallen nearly 91%, the exchange operator said last week.
In April, CI Financial said it would spin off up to 20% of the unit but keep the remaining stake. The proceeds from the IPO would be used to pay down debt, he added.
As of November 30, the US wealth management unit had $183.3 billion in assets under management.
CI Financial shares have nearly halved so far this year. (Reporting by Niket Nishant in Bengaluru; Editing by Anil D’Silva)
Comments are closed.