Exponent Ticket Seller Trainline to Sell Shares in IPO

Corrected

Trainline Plc, Britain’s largest online train ticket retailer, plans to sell shares to the public and list them on the London Stock Exchange.

The initial public offering will generate proceeds of about 75 million pounds ($113 million) before expenses and will lead to a free float of at least 25 percent of the share capital, the company said today in a statement. The IPO may value Trainline at about 500 million pounds, two people with knowledge of the matter said.

The company runs a platform that lets customers buy train tickets for various rail services online and on mobile devices. Trainline has benefited from “phenomenal growth” in U.K. rail customers in the last few years and plans to use funds from an IPO to expand its mobile offer and its service to customers across Europe, Chief Executive Officer Clare Gilmartin said in an interview today.

“Our aspiration is to be a travel company in everybody’s pocket,” Gilmartin said. “We have a very exciting future, principally driven through mobile.”

The deal will also give the company’s investors a chance to exit, Gilmartin said. The offer will include a partial sale by funds managed by Exponent Private Equity LLP, which acquired Trainline in 2006, HarbourVest Partners LLC and Northwestern Mutual Life Assurance Co.

Exponent has the option to increase the shares available by as much as 15 percent.

London was the busiest market in Europe for IPOs last year, with companies raising about $30 billion from the sales, according to data compiled by Bloomberg. Retirement-home builder McCarthy & Stone Ltd. and lender Aldermore Group Plc are among U.K. companies that may also sell shares this year.

Morgan Stanley is sole sponsor and is acting with JPMorgan Chase & Co. as a joint global coordinator. Numis Securities Ltd. is a joint bookrunner.

Trainline is the leading online provider of rail tickets in the U.K. by value of tickets sold, according to its website. The website and mobile applications received over 20.8 million visits per month on average last year.