(Bloomberg) -- Euro Group, a motor parts maker, has mandated banks for a planned initial public offering in Milan, people familiar with the matter said.

The Italy-based company has picked JPMorgan Chase & Co., BNP Paribas SA, UniCredit SpA and Intesa Sanpaolo SpA as global coordinators, the people said, asking not to be identified discussing confidential information. Rothschild & Co. is also advising on the IPO, the people said.

Euro Group is eyeing a listing next year, according to the people. Deliberations are ongoing and no final decisions about an IPO, including size or timing, have been taken, they said. 

Representatives for Euro Group, Intesa, JPMorgan, Rothschild and UniCredit declined to comment, while a spokesperson for BNP Paribas didn’t immediately provide comment.

Euro Group manufactures stators and rotors that can be used in electric motors to power everything from cars to household appliances. It generated revenue of 425 million euros in 2020, its website shows, the same year that French asset manager Tikehau Capital took a 30% stake in the company.

The planned listing comes amid a lull in IPO activity across Europe, with market turmoil fueled by inflation, hawkish central banks and growing recession fears weighing on investor appetite for deals.

Companies have raised $9.7 billion via IPOs on European stock exchanges this year, according to data compiled by Bloomberg, down 84% from the same point in 2021.

(Adds IPO volume in final paragraph.)

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