Motorcycle Holdings makes bright ASX debut
Market value shots above $100 million as shared close way above listing priceShares in Australia's largest motorcycle dealership operator have surged nearly 30 per cent in a strong market debut on April 29, according to a report by AAP.
Motorcycle Holdings' shares closed at $2.71 on day one, up from the issue price of $2.00. That boosted the company's market value by $22 million up to $102.8 million.
The initial public float was valued at $46 million and, as part of the market listing, private equity firm Archer Capital's Growth Fund has cut its stake in Motorcycle Holdings to 10 percent from 61 percent. Meanwhile, Chief executive David Ahmet's stake came down from 30 percent to 22 percent
Motorcycle Holdings has 34 franchises across Queensland, NSW and the ACT, selling all the Japanese brands as well as other marques such as Harley-Davidson, Triumph and BMW.
It has forecast revenue of $213 million in 2015-16, up from $186 million in the previous year, while net profit is expected to rise to $6.9 million.
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