Europe Markets: Shares of Goldman Sachs-controlled fund manager dive after profit warning

by | Sep 8, 2023 | Stock Market

The private equity-focused fund manager spun out of Goldman Sachs saw its stock drop as much as 16% on Friday after cutting its outlook. London-listed Petershill Partners
which is operated and three-quarters owned by Goldman Sachs
Asset Management, said its full year partner fee-related earnings will be in a range of $190 million to $210 million, below previous guidance between $220 million and $250 million. Petershill said the new guidance is “principally to reflect the slower deployment environment impacting timing of fee activations.”

That’s after reporting first-half earnings on that metric fell to $99 million from $110 million, which according to UBS was 6% worse than expected. One interesting takeaway from its conference call: executives at Petershill say new Securities and Exchange Commission disclosure requirements may drive consolidation of smaller firms. In midday trade, most of Europe’s bourses were trading lower, with the U.K. FTSE 100
French CAC 40
and German DAX
each down between 0.1% and 0.4%. For the year, the Stoxx Europe 600
has gained 7%, underperforming the 16% rise for the U.S. S&P 500

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