WARSAW (Reuters) – Polish commerce platform Allegro said on Monday it plans to raise around 1 billion zlotys ($266.54 million) from a new share issue as part of its initial public offering, which is expected to be the biggest debut on the Warsaw bourse in many years.
The online marketplace, which competes with eBay EBAY.O and Amazon AMZN.O, also said it plans to use the proceeds to repay its outstanding debt to improve its net leverage.
In July, sources said Allegro’s owners – private equity funds Cinven, Permira and Mid Europa Partners – are pressing ahead with efforts to list the company in Warsaw in September.
“The group believes the offering is a logical and significant next step for the group in its development,” Allegro said, adding that up to 5% of the final offering would be allocated to retail investors.
The group, which has hired Goldman Sachs International and Morgan Stanley & Co. International plc, as global coordinators and joint bookrunners, said it had 12.3 million active buyers as of June-end.
Its adjusted EBITDA for the first half of 2020 was 808 million zlotys.
The company also said it agreed to a new 5.5 billion zlotys five-year senior secured term loan and a multi-currency revolving credit facility equivalent to 500 million zlotys to refinance its debt.
Reporting by Agnieszka Barteczko; Editing by Muralikumar Anantharaman and Ramakrishnan M.