Radio New Zealand - Te Reo Irirangi o Aotearoa

The private equity owners of outdoor clothing and equipment retailer Kathmandu will sell their entire holding in the business.

The Australasian firm is being floated and shares are expected to start trading in Australian on Friday afternoon.

Investors will pay $1.70 a share for a stake in the firm, the lower end of the indicative price range of between $1.65 and $1.90 Australian a share, valuing Kathmandu at $340 million.

Analysts say the low price is another sign that caution lingers over a fragile recovery in public listings.

Last week, Australian retailer Myer tumbled 9% on its debut after a $2 billion initial public offering.

A spokesperson for Kathmandu says private equity owners Goldman Sachs JB Were and Quadrant Private Equity tripled the return on their investment.

They bought the the retailer for $NZ275 million, including debt, in 2006.