29th May 2014 09:05
LONDON (Alliance News) - Online retailer Mysale Group PLC, part owned by the wife of UK retailer Philip Green, Thursday became the latest in a long list of retailers that have, or are set to, list in London in 2014, on the day that Saga PLC got off to a steady start on the first day of unconditional dealings in its shares.
Mysale was launched in Australia in 2007 and has since expanded to New Zealand, southeast Asia, the US and UK. It is a so-called flash sales retailer - once a customer becomes an "exclusive" member, they get access to member-only fashion sales.
It had about 795,000 active members across eleven online sites on May 14, although it had 10.8 million registered members and is adding about 250,000 new members each month.
"Having built a growing and profitable business from our established sites in Australia, New Zealand and South-East Asia, we have now established an office in the UK to take advantage of the significant opportunities available to us in the US and UK markets," Chief Executive Carl Jackson said in a statement.
Earlier this month, a vehicle owned by Christina Green, the wife of Philip Green, agreed to buy a 25% stake in Mysale for AUD87.5 million. The Greens own the Arcadia retailing group, which includes brands like TopShop, Dorothy Perkins, Wallis and BHS.
"The directors believe that this investment will give Mysale unique access to additional brands, manufacturing facilities, industry relationships and a global retail network," Mysale said in a statement.
The company is intending to list on the AIM market in London on or around June 16. It wants to raise about GBP40 million, which it will use to fund marketing in its new markets in the US and UK, to make potential acquisitions, automate its existing warehouses, and for working capital.
Mysale made revenue of AUD183.6 million in the year to June 30, 2013, up 64% on the year, while adjusted earnings before interest, tax, depreciation and amortisation was AUD8.9 million, up from AUD3.7 million a year earlier.
Macquarie Capital (Europe) Ltd is acting as nominated adviser, joint broker and joint bookrunner on the offer, while Zeus Capital Ltd is acting as joint broker and joint bookrunner.
Mysale's announcement came as shares in Saga started unconditional dealings on the main market in London.
The biggest initial public offering of the year so far in London, which gave Saga an initial market capitalisation of GBP2.1 billion, had to be scaled back from initial expectations amid signs that the London market for new offerings has cooled in the last few weeks.
Last week, Saga set the price for its IPO at 185 pence, right at the bottom of the 185p to 245p range it had previously set. The company, which tailors its products for the over-50s and also offers cruises and holidays, savings and share dealing, and even a magazine, raised about GBP550.0 million, money it will use to reduce its net debt to about GBP700.0 million.
Shares have done little since, rising to just over 186 pence in conditional dealings. The stock was trading up 0.2% at 186.43 pence Thursday morning on the first day of unconditional dealings.
NAHL Group PLC, which owns the National Accident Helpline personal injury business, also started trading on AIM Thursday.
Its stock was trading at the IPO price of 200 pence Thursday morning.
The company raised GBP2.3 million in its placing, while its selling shareholders, which included private equity companies Inflexion and Lloyds Development Capital, raised GBP32.7 million.
By Steve McGrath; [email protected]; @SteveMcGrath1
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