Eurazeo's Europcar aiming to raise €475m in IPO

According to the document, the business intends to use the capital to meet the anticipated repayment of €324m outstanding subordinated notes, expected to mature by 2017. The business intends to bring its corporate debt down to 1.5x EBITDA, as opposed to the 2.7x multiple recorded at the end of 2014.

In addition, the car rental business foresees a 3-5% jump in its consolidated revenues and an EBITDA uptick from the current €212.8m to approximately €245m.

The announcement comes more than three months after unquote" learned of Europcar's intention to list in the second quarter of 2015. At the time, a source close to the situation revealed  only a small percentage of the IPO would involve existing shares – meaning Eurazeo would remain significantly invested in the business following the listing.

Headquartered in Paris and founded in 1949, Europcar is a car rental firm. With around 6,500 employees, the group is present in 145 countries. Europcar posted revenues of €1.9bn in 2013, with a €157m EBITDA. The latter figure jumped to €219m for the 2014 fiscal year.

The car rental service was picked up by Eurazeo from Volkswagen for €3.08bn in 2006. The purchase price was equivalent to 16.5x EBITDA at the time.

In 2012, the French business raised €324m on the high-yield market to refinance its debt. The refinancing saw shareholders, including Eurazeo, deploying an additional €110m to be later converted to equity.

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• Topics
• France
• Exits
• France
• Eurazeo
• IPO