Motorpoint is expected to raise £100m in a float of shares priced at 200p per share – with conditional trading now underway.
Conditional trading began this morning (May 13th) at 8am and unconditional trading of the remaining Motorpoint shares will get underway at 8am on May 18th, a statement published on the London Stock Exchange revealed.
The statement said that the initial public listing involves an initial public offering of 50,000,000 shares, with its entire issued share capital of 100,000,000 ordinary shares “to be admitted to the premium listing segment of the Official List of the FCA and to trading on the Main Market for listed securities of the London Stock Exchange”.
The pricing the shares equates to a valuation of the Motorpoint business – the largest independent car dealer group in the UK – at £200 million.
Gross proceeds of £100m are expected to be raised for the selling shareholder, MP Group Holdings Limited, a company owned and controlled by Motorpoint's co-founder, David Shelton, and other members of the group's management team.
Shoby Investments Limited, a company owned and controlled by David Shelton, Motorpoint's co-founder, will hold approximately 22.9% of the business’ issued ordinary share capital.
Motorpoint chief executive Mark Carpenter said: "This IPO represents a significant milestone in the Motorpoint journey and I am delighted to welcome our new shareholders to the register.
“As the largest independent vehicle retailer in the UK, with a differentiated, multichannel, disruptive business model and a compelling customer proposition built around choice, value and service, we believe that this listing on the LSE will provide the catalyst to take the Company to the next stage of its growth."
Motorpoint is currently the UK’s largest independent car retailer, with ten car supermarket sites across the UK – the latest addition in Castleford, West Yorkshire.
Motorpoint currently employs more than 600 people and generated revenues of £563 million in the year ended March 2015, up 19% on the year before when it made £473m.
The Evening Standard reported yesterday that cash generated by the stock market floatation had already been earmarked for an expansion into the south of the UK and invested in its online operations to combat the likes of Auto Trader.
dave - 21/05/2016 17:58
i hear arnold clark made 3.35 billion in 2015, along with have over 200 dealerships.