Lancashire-based EG Group set for $9bn US float plan - here's what we know
Blackburn-based retail, foodservice and fuel giant EG Group will next week kick off formal plans for a $9bn (£6.7bn) US stock market listing, according to reports.
The company, about 25 per cent of which is owned by brothers and founders Mohsin and Zuber Issa, will hold a beauty parade of banks in London next week ahead of a flotation expected to take place this year, Sky News reported.
In next week's selection process, banking sources said Barclays, Bank of America, Goldman Sachs, JP Morgan and Morgan Stanley were all likely to take part, Sky said.
Currently chaired by Lord Rose, the former Marks & Spencer and Asda chairman, the company may choose to list in New York under the name Cumberland Farms.
The company, founded by brothers Mohsin and Zuber Issa, is roughly 50pc-owned by London-based private equity firm TDR Capital, which also owns a controlling stake in Asda.
It has had an unsettled past year, but said the three months to September 30 “delivered a resilient performance”, with underlying earnings before deducting costs and taxes of $284m - broadly in line with the previous year.
Last year the company announced it was looking to transform a into a more focused, US-led operation, which will see the headquarters move from Haslingden Road, Blackburn, to Charlotte, North Carolina. It is expected that at least 300 staff in Blackburn – less than half the current 700 – will be retained.
About 33,000 people are employed by EG Group worldwide, which operates roughly 4,300 sites. Every year, it serves one billion customers.