Eddie Stobart to float on London Stock Exchange in drive for growth
Eddie Stobart has announced plans to float on the London Stock Exchange in a listing that would value the logistics group at over £550 million.
The company, known for its famous branded lorries, expects to raise around £130 million from the initial public offering (IPO) next month, with the cash used to fund growth and pay down debt.
The listing, on the LSE's junior AIM market, will see Eddie Stobart's owners, a group of funds advised by DBay and S tobart Group, reduce their holding in the firm to 30%.
Chief executive Alex Laffey said: "An IPO is an exciting next step for the business that will give us a strong platform for further growth.
"We have transformed the business over the last three years and made significant investment in our customised technology and systems alongside developing our management and workforce to support growth in new business sectors."
The group, established in 1970 and which operated an extensive UK and European network, generated revenue of £549 million and adjusted earnings of £41 million last year.
Eddie Stobart said with the UK and European logistics market "highly fragmented", it offers the firm a wide variety of opportunities for growth.