GSW aims to lure insurers, pension funds in IPO-CEO

FRANKFURT, April 10 (Reuters) - German property company GSW aims to woo institutional investors in its planned initial public offering (IPO) by promising long-term stability, Chief Executive Thomas Zinnoecker told German daily Boersen-Zeitung.

'Long-term planning, stability and security. That will make us interesting for certain institutional investors such as insurers and pension funds,' Zinnoecker said in an interview published in the paper on Saturday.

GSW eyes an IPO by the end of June to raise cash to lower its debt and strengthen its balance sheet. The IPO is expected to spark a fresh round of IPOs by German companies.

A source told Reuters last week that GSW's offering could fetch about 500 million euros ($669 million), of which about 150 million would go to GSW itself.

Zinnoecker told Boersen-Zeitung he expected GSW's shares to become a 'classic dividend stock' following the IPO.

He said he was optimistic that the company would post good earnings in 2010 after reporting a 2009 net profit of 172 million euros.

(Reporting by Maria Sheahan) ($1=.7477 Euro) Keywords: GSW/ ([e-mail]; [phone]; Reuters Messaging: [e-mail]) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.