13th May 2016 07:50
LONDON (Alliance News) - Car retailer Motorpoint Group PLC raised GBP100.0 million through an initial public offering on the London Stock Exchange's Main Market, joining the buoyant car dealer sector in London.
Motorpoint sold 50.0 million existing shares at 200.00 pence per share, raising GBP100.0 million for its selling shareholders. The placing was handled by global co-ordinator, sponsor and bookrunner Numis Securities Ltd.
Shares in the company pushed higher on their debut, up to 214.75 pence, or around 7.4%.
Motorpoint's market capitalisation upon admission was around GBP200.0 million.
"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," said Chief Executive Mark Carpenter.
Motorpoint operates from 10 retail sites in the UK, along with a national call-centre to deal with online enquiries. It also operates the Auction4Cars.com business-to-business online auction platform.
The company will join a car dealer sector in London in rude health. Lookers PLC and Pendragon PLC both ascended to the FTSE 250 in 2015 after delivering growth in both used and new car sales and in aftermarket services, including repair and maintenance.
The strength of the British car industry attracted three new names to the stock market in 2015, comprising online car marketplace Auto Trader Group PLC, British Car Auctions owner BCA Marketplace PLC and dealer Marshall Motor Holdings PLC.
By Sam Unsted; [email protected]; @SamUAtAlliance
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