Financial services comparison site to proceed with IPO
Moneysupermarket.com is planning an initial public offering (IPO) of its ordinary shares, which will lead to a listing on the London Stock Exchange.
The group said its performance to date has been driven by the increasing use of broadband and the rapid growth in the online advertising market in the UK.
Commenting on today’s announcement, chief executive Simon Nixon said: “Over the past seven years, moneysupermarket.com has focused on building its internet business by putting consumers first and a public listing will help us to continue raising the profile of the company as a consumer champion.
"We believe the strength of our brand and market position, combined with our consumer focus and record of innovation, mean we are well positioned to capitalise on the positive trends we see in our chosen markets”
Chairman Gerald Corbett added: “Moneysupermarket.com is an exciting and dynamic business.
"I have been impressed with the strong management team led by Simon Nixon, and by the significant growth the business has achieved up to now.
"I believe that the group has a bright future as a public company. I am committed to achieving the standards of corporate governance expected of an industry leading company”
The group generated revenues of £104.5m in the financial year ended 31 December 2006, reflecting 54% and 42% increases as compared to revenues of £68m for the previous year.
The offer will consist of an offering of new and existing ordinary shares by the company and certain shareholders respectively.
Proceeds of the offer will principally be used to repay the group’s existing debt facilities and to fund expected growth. Following the offer the chief executive and the senior management team are expected to own a majority interest in the company.
Lehman Brothers International (Europe) and UBS are acting as co-lead managers in connection with the offer.
