Goldman Sachs Petershill Shuts Three Billion Pound Fund in Major London Blow

Goldman Sachs has delivered a significant blow to the City with the announcement that its £3 billion Petershill Partners investment vehicle will delist from the London Stock Exchange. The decision comes as Petershill plans to return $921 million to shareholders, marking the end of its stint as a listed asset on the FTSE 250.

Despite robust financial and operational results, the fund has struggled to achieve a valuation on the public markets that reflects the quality of its holdings. Since floating in 2021 at 350p per share, Petershill shares had fallen by 35 per cent, underscoring the challenges investment funds face amid wavering investor appetite and rising interest rates.

Shareholders are set to receive approximately 308p per ordinary share, a 30 per cent premium over the prior close. The decision now awaits approval at a shareholder meeting scheduled for early November. The move illustrates the persistent disconnect between private fund valuations and public market sentiment, an issue that has weighed heavily on London’s financial reputation in recent years.

Petershill gave retail investors access to private equity and hedge funds, including a notable stake in Clearlake Capital, the majority owners of Chelsea Football Club. However, the market’s inability to price these assets favourably ultimately forced Goldman’s hand. The listing’s end may raise concerns over London’s competitiveness as a destination for major financial listings, with both domestic and international players watching developments closely.