Fifth Street Asset Management revives $100 million IPO with a lower valuation and deal size

Fifth Street Asset Management, a credit-focused alternative asset manager with $5.6 billion in AUM, revived plans for an upcoming IPO on Tuesday and lowered the proposed price and shares offered. The Greenwich, CT-based company now plans to raise $102 million by offering 6.0 million shares at a price of $17, giving it a diluted market cap of $850 million.

Fifth Street had previously filed to offer 8.0 million shares at a range of $24 to $26 last week. At the midpoint of the revised range, it will raise 49% less in proceeds than previously anticipated at a 32% lower market cap.

As of June 30, approximately 95% of its AUM was held by two publicly traded companies, Fifth Street Finance (NASDAQ: FSC) and Fifth Street Senior Floating Rate (NASDAQ: FSFR). Two asset managers recently priced IPOs, including Medley Management (MDLY) and OM Asset Management (OMAM).

Fifth Street Asset Management, which was founded in 1998 and booked $88 million in sales for the 12 months ended June 30, 2014, plans to list on the NASDAQ under the symbol FSAM. Morgan Stanley, J.P. Morgan, Goldman Sachs, RBC Capital Markets, Credit Suisse, SMBC Nikko, Deutsche Bank, Barclays and UBS Investment Bank are the joint bookrunners on the deal. It is expected to price later this week.