ZURICH/FRANKFURT, Nov 21 (Reuters) - Private equity group
Warburg Pincus is working with Goldman Sachs and Barclays
on the planned 2020 sale or initial public offering of
Swiss banking software company Avaloq, people close to the
matter said.
The buyout group, which owns 45% of Avaloq, is expected to
launch an auction in the first quarter of 2020. Avaloq founder
Francisco Fernandez, management and employees also hold shares
in the company.
Warburg Pincus, Avaloq and the banks declined to comment.
Avaloq Chief Executive Juerg Hunziger had said this year
that the company was preparing for an IPO or sale within the
next two to four years.
Avaloq, founded in 1985 as BZ Informatik, supplies software
for financial institutions such as Barclays, BBVA,
Deutsche Bank, HSBC Rothschild,
Societe Generale and Vontobel. Its software
programmes manage $4.5 trillion in client money.
In the first half of 2019, Avaloq reported a 5% year-on-year
increase in revenues as well as core earnings, to 288 million
francs in sales and adjusted EBITDA of 38 million.
Larger and more profitable rival Temenos trades at
25 times its expected core earnings.
(Reporting by Oliver Hirt and Arno Schuetze. Editing by Jane
Merriman)