Float values Merlin Entertainments at £3.1bn
MERLIN Entertainments, the company that runs Alton Towers, Warwick Castle and the Sea Life centres, has set its offer price at 315p giving it a market value of £3.19bn when it floats next week.
Some 30% of the company is being sold which will raise £957m. It enables a partial exit for shareholders and will raise £200m which the company plans to use to pay down debt.
Merlin is owned three investment funds – Blackstone, Kirkbi and CVC Capital Partners – which will hold 22.6%, 29.9% and 13.1% respectively following the float. Management will hold 4.4%. Some 87.5% of the shares went to institutions with 12.5% going to retail investors.
London-based Merlin operates 99 attractions in 22 countries which it says makes it Europe’s biggest visitor attraction operator and the second in the world after Walt Disney.
It is planning to roll out more attractions, including the development of a Legoland Park in Dubai and in other locations in the Far East. It is also planning acquisitions in what it described as a “highly fragmented” market.
Chief executive Nick Varney said: “We are delighted with the strong response from both institutions and retail shareholders to our offer.
“We have long stated our belief that becoming a public company was Merlin’s ultimate destiny, providing the right long-term ownership to enable the next stage of development. We look forward to continuing to deliver on our proven growth strategy as we further expand our unique portfolio of iconic international brands.”
The shares will list on the London Stock Exchange on November 13.
