It intends to proceed with an initial public offering (“IPO”) of its Ordinary Shares, which are intended to be admitted to the Official List of the FSA and to trading on London Stock Exchange plc’s main market for listed securities.
The company and its subsidiaries (together with the Company, the “Group”) operate two flagship websites, moneysupermarket.com and travelsupermarket.com. The Group’s websites attracted approximately 64 million visitors and approximately 523 million page impressions in the year ended 31 December 2006.
moneysupermarket.com’s directors believe that the Group’s price comparison services offer a compelling value proposition to both consumers and product providers, simplifying consumers’ research, improving consumers’ shopping experience and enabling product providers and advertisers to target effectively their marketing spend.
The Group’s performance to date has been driven by the increasing use of broadband and the rapid growth in the online advertising market in the UK. moneysupermarket.com’s directors believe that the scalability of the Group’s business model, technology platform and diversified channel and product offering, differentiates it from its competitors and creates significant barriers to entry.
Chief executive Simon Nixon said: “We are delighted to make this announcement. 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 stated: “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”
Financial Information:
moneysupermarket.com derives revenues predominantly from fees paid by providers with whom it has a provider contract, advertisers and financial intermediaries. The Group generated revenues of £104.5 million and had Adjusted EBITDA1 of £33.0 million in the financial year ended 31 December 2006, reflecting 54% and 42% increases as compared to revenues of £68.0 million and Adjusted EBITDA1 of approximately £23.3 million in the financial year ended 31 December 2005.
Details of the Proposed Global Offer:
moneysupermarket.com intends to apply for admission of its Ordinary Shares to the Official List of the FSA and to trading on London Stock Exchange plc’s main market for listed securities. The Global Offer will consist of an offering of new and existing Ordinary Shares by the Company and certain shareholders respectively (the "Global Offer"). The proceeds of the Global Offer received by the Company will principally be used to repay the Group’s existing debt facilities and to fund the Group’s expected growth. Following the Global Offer the Chief Executive and the senior management team are expected to own a majority interest in the Company.
The Global Offer is expected to comprise an offer to institutional investors in the UK and in certain other jurisdictions as well as an offer to retail investors in the UK, Channel Islands and Isle of Man. The Company also intends to make an employee offer to eligible employees of the Group.
Credit Suisse is acting as Sole Sponsor, Sole Global Coordinator and Bookrunner in connection with the Global Offer; Lehman Brothers International (Europe) and UBS Limited are acting as Co-Lead Managers in connection with the Global Offer.
Details of the Retail Offer:
Retail investors in the United Kingdom, Channel Islands and Isle of Man can register their interest in participating in the Retail Offer through the moneysupermarket.com share offer website, www.moneysupermarket.com/shareoffer. It is expected that registration will be open for less than two weeks. Registration will only be possible on-line. By registering, retail investors will be able to choose their preferred method of application. When the Retail Offer opens, they will be able to apply either online, by downloading an application form or by returning an application form mailed to them. Retail investors may only request an application pack by mail during the registration phase.
Retail investors who register their interest online will be notified directly when the Retail Offer opens.
It is intended that moneysupermarket.com customers (being persons who are current subscribers to the Group’s email alerts as at 28 June 2007) as well as persons who register their interest in applying for Ordinary Shares and subscribe to receive the Group’s email alerts through www.moneysupermarket.com/shareoffer by 11.59 p.m. on Thursday, 5 July 2007, will receive preferential treatment (“Customer Preference”) in the allocation of Ordinary Shares in the Retail Offer, in the event that there is excess demand. As the Retail Offer will only be open for a limited period we recommend that potential investors register their interest online at the earliest opportunity.
Further information on the Company as well as details of how retail investors can register their interest in the Retail Offer are available on www.moneysupermarket.com/shareoffer.
Intermediaries may also participate in the Retail Offer and place orders on behalf of their clients once the Retail Offer opens. Clients of Intermediaries will not be eligible to receive Customer Preference.
The contents of the Company’s websites do not form part of this announcement
