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Trucking business Eddie Stobart seeks listing on London's AIM
[LONDON] Eddie Stobart, known for its fleet of green and red lorries, is seeking to raise about £130 million (S$227.2 million) through a listing on London's junior market, its investors' holding company said on Thursday.
The money raised from the initial public offering will allow Eddie Stobart to pursue both organic and acquisition-led growth in a highly fragmented market that is flourishing on the back of the booming European e-commerce sector, holding company Greenwhitestar UK said.
Eddie Stobart is targeting a market capitalisation in excess of £550 million and expects its shares to start trading on the Alternative Investment Market (AIM) in April.
The listing comes a little more than three years after the trucking and distribution business was taken private with Stobart Group's sale of 51 per cent of the company for £239.7 million to a group then led by William Stobart, son of the parent company's founder Eddie Stobart.
The group was backed by asset management firm DBAY Advisors.
The AIM listing will also allow Greenwhitestar UK - which is 51 per cent owned by funds advised by DBAY Advisors and its co-investors and 49 per cent by the Stobart Group - to reduce its stake in Edddie Stobart to no more than 30 per cent.
Cenkos Securities is acting as broker to the company.