Following confirmation that several âpartiesâ are interested in iShares , analysts have been crunching the numbers to come up with a value for the business. The spin in the weekend press, was that iShares, one of the worldâs leading ETF (exchange-traded funds) mangers, could be worth between Â£3bn-Â£5bn. To put that figure in context, the current market value of Barclays is Â£7bn. With $325bn of assets under management at the turn of the year, Alex Potter of Collins Stewart said iShares would probably fetch a lot less than Â£3bn. This is a lower revenue margin business than BGI s active assets but also a lower cost business meaning it could easily be one-quarter (or more) of BGI s profits, or 3-5% of Barclays group. There are few good comparator deals done recently. Aberdeen-CSAM was at 0.6% of AuMs, implying Â£1.4bn but this is a very different business. If we assume the business accounts for around 25% of BGI (probably conservative), then it made c.Â£110m net profit in 2008. A mid-teens earning multiple would push the purchase price a little higher. This would be 10-12p per share at group level meaning you are losing <5% of profits at a value of >10% of current price. Another analyst, who did not want to be named, agreed. He reckoned the iShares was worth 0.5 per cent of assets under management, or Â£1.2bn. http://ftalphaville.ft.com/blog/2009/03/16/53618/valuing-ishares/ So, whoÂ´s going to be the buyer ?