DUBLIN (Reuters) -Irish building materials manufacturer Kingspan Group has begun working on an initial public offering of 25% of its data-centre focused ADVNSYS business in a deal that could leave
Ireland's Kingspan plans Amsterdam IPO for ADVNSYS unit to cut debt
Kingspan's IPO Strategy for ADVNSYS
DUBLIN (Reuters) -Irish building materials manufacturer Kingspan Group has begun working on an initial public offering of 25% of its data-centre focused ADVNSYS business in a deal that could leave Kingspan debt-free, the company said on Tuesday.
Details of the IPO
The initial public offering of ADVNSYS, which produces bespoke critical infrastructure such as ventilation and daylighting, would take place in Amsterdam, likely in the first quarter of next year, CEO Gene Murtagh told analysts on a conference call.
Financial Performance of ADVNSYS
Two global investment banks have already been appointed to jointly lead the process, which would leave Kingspan controlling 75% of ADVNSYS, he said.
Market Comparisons
ADVNSYS recorded earnings before interest, taxes, depreciation and amortization (EBITDA) of 197 million euro ($230 million) last year and that could hit around 300 million euros next year, Murtagh said.
He said that some rivals servicing the data centre industry were trading at 20 times earnings.
($1 = 0.8482 euros)
(Reporting by Atharva Singh in Bengaluru and Conor Humphries in Dublin; Editing by Mrigank Dhaniwala and Louise Heavens)
