Major non-bank lender, Pepper has had to discount its valuing of the company in an initial public offering amid global concerns, the Australian Financial Review
According to the report
, it is understood that the deal has been listed at a valuation of 10 times the calendar year 2015 net profit after tax, which equates to a price of $2.60. This is down from the 12 times earnings Pepper hoped for.
The discounted deal came after Greek Prime Minister Alexis Tsipras agreed to a list of austerity concessions in exchange for a bailout package. The AFR
has also reported that Pepper's management and founders are not selling into the float and will account for around 45% of the register after the listing.
Last month, Australian Broker published
reports that Pepper began distributing pre-marketing research to fund managers, in a bid to raise money on the ASX.
At the time, it was understood that the non-bank would be valued at about 13 to 14 times net profit, or $611 million to $658 million. Pepper is forecasting net profit growth of 34% to $47 million in the calendar year 2015, while revenue is expected to hit $300 million, from $230 million in 2014.