Marex plans to float on LSE
Marex, a tech-enabled liquidity hub connecting clients to global energy, commodities and financial markets, announces that it is considering an initial public offering (IPO).
Marex is considering applying for admission of the Shares to the premium listing segment of the Official List of the FCA and to trading on the main market of the London Stock Exchange (LSE).
Marex has demonstrated an ability to deliver profitable growth across different market conditions. In the year ended 31 December 2020, the Group’s net revenue increased by 17.7% from $352.2 million to $414.7 million, and adjusted operating profit before tax increased by 15.2% from $53.4 million to $61.5 million. From 2018 to 2020, the Group’s net revenue increased from $293.0 million to $414.7 million, representing a CAGR of 19.0%, and adjusted operating profit before tax increased from $45.6 million to $61.5 million, representing a CAGR of 16.1%. The Group’s business model is highly cash generative with generally low capital expenditure requirements.
Ian Lowitt, Chief Executive of Marex, said:
“During the past 10 years we have worked to build a leading diversified market liquidity provider. This has been achieved through a series of strategic acquisitions, as well as the continual diversification of our earnings and extension of the customer base by increasing our geographical presence and our product set.
Immediately following Admission, the Company intends to have a free float of at least 25% of issued share capital and expects that it would be eligible for inclusion in the FTSE UK indices. In addition, it is expected that Shares representing up to a further 15% of the Offer will be made available pursuant to an over-allotment option.
The Company has engaged Goldman Sachs International (“Goldman Sachs”) as Joint Global Co-ordinator, Joint Bookrunner and Sole Sponsor, J.P. Morgan Securities plc (which conducts its UK investment banking activities as J.P. Morgan Cazenove) (“J.P. Morgan Cazenove”) as Joint Global Co-ordinator and Joint Bookrunner, Barclays Bank PLC (“Barclays”) as Joint Bookrunner and Peel Hunt LLP (“Peel Hunt”) as Co-Lead Manager in the event the Offer proceeds.