Tristar Transport, a leading global integrated liquid logistics solutions provider headquartered in Dubai, UAE, has launched its initial public offering (IPO) on the Dubai Financial Market (DFM).
The offering comprises a base case of a minimum of 239,800,000 ordinary shares, which represents a transaction size of 20% of the total issued ordinary shares in the capital of Tristar, with a maximum of 287,760,000 ordinary shares, which will represent a transaction size of up to 24%.
A price range of AED2.20 – AED2.70 ($0.59 - $0.63) per share has been announced, inferring a market capitalisation on listing of approximately AED2.64 – AED3.24 billion. Proceeds from the primary component will be approximately AED438 – AED537 million and the secondary component will be approximately AED90 – AED240 million.
The Offering is being made available to Qualified Investors only. The offer period starts today (April 4) and will close on April 15 with listing of shares on the DFM expected to take place on 22 April.
Eugene Mayne, Group CEO of Tristar said: “I am delighted our Share Offer is now open, which provides investors the opportunity to share in Tristar’s long-term growth aspirations. Our business has achieved considerable success over the last 23 years delivering revenues of $453.4 million, and EBITDA of $103.6 million for the year ended 31 December 2020. Our main operating metrics for the first quarter of 2021 are trending positively, and so as we look ahead, we see significant opportunities to continue to drive steady and sustained growth as we expand our geographic reach and support services whilst continuing to innovate and shape the logistics industry.”
Established in 1998 as a road transport service provider for the petroleum industry in the UAE, Tristar has evolved into a leading integrated energy logistics company serving a diversified customer base of “blue-chip” investment grade companies. The Group has operations in 21 countries and territories across three continents and has over 2,000 road transport assets and 35 maritime vessels, including the operation of 69 fuel farms and over 100 remote fuel sites, providing a wide spectrum of integrated service offerings.
The Group has a strong track record of growth demonstrated by a 12.4% CAGR in operating cash flows between 2018 and 2020 and a consistent EBITDA margin between 20.1% to 22.8% in the years 2018 to 2020. In the year ended 31 December 2020, the Group had a consolidated revenue of $453.4 million, and EBITDA of $103.6 million. This record is underpinned by a strong business model, operational excellence and rigorous financial management. – TradeArabia News Service