One51 eyes IPO as sales rise to €366m
Published 30/03/2016 | 02:30
Plastics and environmental firm One51 is eyeing an initial public offering (IPO) after its 2015 revenue beat analysts' expectations.
The company, which has Irish financier Dermot Desmond's International Investment and Underwriting among its investors, has appointed Davy and Numis as its financial advisors in the run-up to a potential IPO.
One51 said it is now "at an appropriate stage" to seek approval from shareholders for a public listing after it acquired a majority stake in Canadian plastics firm IPL for €201m last year.
Shares in the Irish company, which employs around 1,700 people across Ireland, the UK, North America, and China, trade on an informal "grey market".
This means the company's shares are not listed on a stock exchange but can be bought and sold through brokers.
In a notice issued to shareholders yesterday, the company said its current trading facility provides limited liquidity and inhibits shareholders as well as One51's ability to raise capital.
Shareholders will be asked to vote on an IPO at an emergency general meeting on Thursday, April 21.
One51 chief executive Alan Walsh said the company needs to enhance liquidity in its shares for the next phase of growth.
"In recent months progress has been made to facilitate a listing and to raise additional equity capital," Mr Walsh said.
"Subject to shareholder approval, any decision to proceed with a listing and capital raising by way of any share placing will be made based on market conditions and the company's interests and performance at that time."
One51 has posted earnings before interest, tax, depreciation and amortisation (EBITDA) of €36.1m for 2015, a rise of 67.1pc. "2015 was a year of significant progress and continued growth for One51 as evidenced in particular by two key events, the group's entry into the North American plastics market through the acquisition of IPL and the receipt of €51.8m from our investment in Atlas Investments (formerly NTR)," Mr Walsh said.
One51 held a 24pc stake in utility firm NTR before it demerged late last year. The €52m windfall helped it post a net debt of €116.5m at the end of 2015.
Revenue jumped by 32.4pc to €366m with profit before tax decreasing by €4.78m year on year to €21.1m.
The company cited the "transformative" acquisition of IPL, which it said has provided a strong presence and platform for growth in the North American market.
One51 also benefited from the first full-year impact of Straight, the waste container firm it bought in 2014.
The company said it has carried its strong momentum from the end of 2015 into this year and it remains confident about its ability to grow profitability.