Integrated payments company Eurowag plans €200mln London IPO

Eurowag said it plans to list on the London Stock Exchange via an initial public offering that would raise around EUR200mln. The company is a pan-European integrated payments and mobility platform focused on commercial road transportation (CRT). The IPO, comprising both new and existing shares, will be aimed at institutional investors.

The targeted free float is of at least 25% with up to a further 15% of the offer made available through an over-allotment option, the company said. Eurowag offers truck drivers payment solutions, including energy payments, through a card network of around 15,500 acceptance points across 30 countries in Europe and toll payments across 23 European countries. It also offers mobility solutions, including tax refund services; fleet management services, including vehicle information and telematics; smart routing and other adjacent services.

Eurowag said trucks were estimated to generate EUR10bn in net revenue across core energy card payments, toll, tax and other products in 2020. The market has the potential to grow significantly in the future, to a range of EUR25bn-EUR40bn in the long-term, driven primarily by further digital disruption, it said. “Eurowag has built a large payments acceptance network in Europe integrated with complementary mobility services and is at the forefront of the transformation of the commercial road transportation industry,” said the company’s founder and CEO Martin Vohanka.

“We are poised for a period of rapid growth and remain committed to improving the profitability of fleets and the well-being of drivers, as well as reducing the industry’s carbon footprint. “The prospective IPO will enable us to accelerate our growth and deliver on our vision for every independent CRT company to have access to all the benefits of digitisation at scale, before, during and after every journey.” The company recorded net revenues of EUR128.6mln in 2020, reflecting a three-year compound annual growth rate (CAGR) of 32%.

The group delivered organic net revenue CAGR of 15% in the same period, further increased to 22% for the six months ended 30 June 2021 compared to the same period for 2020. Adjusted EBITDA margin rose by 11 percentage points over this period, from 35% in 2018 to 46% in FY20.