Wizz Air to enter London Stock Exchange
Seeking better financial opportunities, Wizz Air has decided to list shares. Low-cost airline Wizz Air is not in need of external financing, CEO József Váradi said after the company expressed intention to list shares on the London Stock Exchange.
Wizz Air wants to raise €200 million as a result of the action taking place. Váradi said Wizz Air Holdings plc owns the Hungarian and Ukrainian companies expected to appear on the London market. The CEO emphasized that the funds could be raised for asset financing and to open new markets. In his opinion improved credit rating could allow the company to obtain better financing terms.
Váradi expects the air transport market to consolidate further, and Wizz Air is in need of adequate financial background if wants to become winner of the process. Although Wizz Air is always looking for new opportunities, the markets the company operates on have an appropriate growth potential.
The listing will primarily target institutional investors and is scheduled to close in June. Barclays, Citigroup and JP Morgan would be in lead, with Nomura as lead manager. Wizz Air, Central Europe's largest budget airline, launched first flight in 2004. The company owns 17 operating bases in cities from Warsaw to Bucharest offering more than 300 routes. The airliner gained a revenue of €1 billion last year. Rival easyJet and Ryanair are already listed on the London and Irish stock exchanges, respectively.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.