Hostelworld registers London-Dublin IPO, aims to raise Euro 174M

Budget accommodation online travel agency HostelWorld has confirmed its plan to seek a financial listing on the public markets.

The Ireland-based company says the the offer is expected to raise Euro 173.7 million in a dual listing on the London and Irish Stock Exchanges in November.

The offer price is set at 185 pence (sterling) per share, valuing the company in the region of Euro 240 million.

Hostelworld’s current backer, private equity giant Hellman and Friedmann, will retain around a fifth (19.8%) of the company’s shares following the listing.

Management and H&F will have lock-ins of 365 and 180 days respectively.

Hostelworld has shown a solid increase in its net revenues over the course of the past few years, reaching Euro 79.3 million in 2014 (Euro 52 million in 2012, Euro 57.2 million in 2013).

The first six months of 2015 saw it reach Euro 43.9 million (compared to Euro 40.7 million in H1 2014).

Adjusted EBITDA for 2014 was Euro 27 million, up from Euro 20.8 million in 2013.

CEO Feargal Mooney says the plan to list is a “milestone in Hostelworld’s development”.

“The IPO will further raise our already strong brand awareness in our growing and worldwide marketplace, enhance the Group’s profile with investors, business partners and customers and enable access, should it be required, to capital markets to support future growth.”

The decision to list on the public markets comes two and half years after Hostelworld bought out its arch rival Hostelbookers for an undisclosed fee.

Part of the plan also includes adding some heavyweights to its board of directors – former-Ryanair deputy CEO and chief operating officer, Michael Cawley, joins as a senior independent non-exec director, alongside Andy McCue, the CEO of betting giant Paddy Power, who is a non-exec director.

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Kevin May

About the Writer :: Kevin May

Kevin May was a co-founder and member of the editorial team from September 2009 to June 2017.



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  1. Dennis Pitcock

    The big fish was sitting nice in the small pond (hostel market), the unexpectedly merged with the ocean (all accommodation). Now its finding itself competing with the sharks and whales out there (pricepedia brands) and having a tough time. They have a strong brand, so hopefully this IPO will help.


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