Hostmore declares stock market debut, breaks from Electra
By Jenny McCall
08:15, 15 October 2021
UK hospitality company, Hortsmore has declared its intention to float on the London Stock Exchange (LSE).
The group, which is also in the process of demerging from Electra Private Equity, an investment trust firm, has said it intends to trade on the Main Market of the LSE on 2 November 2021.
TGI Fridays
In June, it was announced that Hostmore will be the new parent company for Electra’s hospitality brands, which would include restaurant chain, TGI Fridays. Hostmore will also contact the new city-based cocktail bar, 63rd+1st, when it makes its stock market debut next month.
“The Board of Electra believes that the strategy of establishing Hostmore as an independent listed company provides shareholders with the optimal opportunity for short and long-term value creation,” the statement said.
Creating shareholder value
Hostmore said it was to provide shareholder value by creating consumer confidence as it emerges from the Covid-19 pandemic, capitalise on market gains from the development of “Fridays and 63rd+1st brands,” and the development of business through acquisitions and new brands.
The group reported like-for-like growth of 11%, when compared to the same period in 2019.
Robert B Cook, CEO of Hostmore, commented: “We are delighted to be announcing the intention to proceed with the demerger and listing which, subject to the approval of Electra shareholders, we expect to complete in early November. The demerger and listing of Hostmore leaves us well placed to continue to develop enduring value through our existing and future brands and we look forward to the future with excitement and confidence.”
The Electra stock price was down 1.91% in early morning trading today.
Read more: Hospitality sector cautiously optimistic as lockdown eases
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