Carlyle Group Files SEC Documents to Go Public

(September 7, 2011) — Private equity giant Carlyle Group has confirmed that it has filed a registration statement with the US Securities and Exchange Commission (SEC) to go public.

The firm, which manages $150 billion in assets, said it has filed the statement with the US regulator for a proposed initial public offering.

According to a statement by the global alternative asset manager, the number of common units to be offered and the price range for the offering have not yet been determined. “Carlyle intends to use the net proceeds from the offering to repay indebtedness and for general corporate purposes, including general operational needs, growth initiatives, acquisitions and strategic investments and to fund capital commitments to, and other investments in and alongside of, its funds,” the statement said.

Meanwhile, the founders, who hold 60% of the company, have confirmed that they have no intention of abandoning Carlyle in the near future.

The IPO is expected in the first half of 2012. JP Morgan Securities, Citigroup Global Markets and Credit Suisse Securities (USA) — which all have a history of taking private-equity firms public — will serve as joint book-running managers for the offering. Citigroup helped lead the February 2007 IPO of Fortress Investment Group LLC (FIG). JPMorgan, Credit Suisse, and Citigroup all led Apollo Global Management LLC’s share sale in March.

Carlyle’s sale of shares to the public has been anticipated for years. It comes behind the sale of other major private equity rivals the Blackstone Group, Kohlberg Kravis & Roberts, and Apollo Global Management.

In late March, Leon Black’s Apollo Global Management, originally slated for a 2008 initial public offering, finally went public. The firm had sold shares in a private placement in 2007, hoping that it would be the first step toward a New York Stock Exchange (NYSE) listing; however, when markets turned sour in 2008, the public offering was delayed.