Cirsa to List Shares in Spain and Raise €400 Million in IPO

Cirsa has confirmed it will move forward with a public offering on Spanish stock exchanges, aiming to raise €400 million ($460.4 million) through the sale of new shares. The operator plans to use the proceeds to support acquisitions, reduce debt, and reinforce its growth plans.

Good to know

• IPO targets €400 million through newly issued ordinary shares.
• A secondary share sale worth €60 million is also planned.
• Cirsa expects to reduce net debt to EBITDA ratio to around 2.7x.

The company, owned by Blackstone since 2018, is preparing to list on the Barcelona, Bilbao, Madrid, and Valencia exchanges. Cirsa did not provide a final date for trading to begin, noting it will depend on market conditions and regulatory approval.

CEO Antonio Hostench described the IPO as a step forward. “Today, we are taking a defining step to continue writing another page in this extraordinary history of growth by announcing our intention to go public, which will provide us with the opportunity to undertake new projects and continue to consolidate our leadership in the sector,” he said. Executive Chairman Joaquim Agut added that the offering represents a major moment for the company.

Both Agut and Hostench will remain shareholders following the IPO. In addition to the €400 million primary raise, Cirsa plans a €60 million secondary share sale by LHMC Midco. That sale is designed to cover tax and restructuring expenses related to employee and management holdings. Cirsa clarified that management will not receive personal financial gain from this transaction, aside from what goes toward those costs.

The offering includes an over-allotment option led by Barclays Bank Ireland, Deutsche Bank, and Morgan Stanley Europe. These banks will serve as joint global coordinators.

Cirsa expects the IPO will bring down its net debt to EBITDA ratio to around 2.7x initially, and eventually between 2.0x and 2.5x. The company has forecast 2025 EBITDA in the €740 million to €750 million range. Online operations are projected to slightly outperform 2024, while land-based business revenue is expected to grow in the mid-single-digit range.

Cirsa is targeting total revenue of between €2.28 billion and €2.33 billion in 2025 and plans to generate €400 million to €500 million in cash flow between 2025 and 2027 for future acquisitions.

The IPO announcement follows a strong Q1, where Cirsa posted €576.7 million in net revenue, marking a 12.5% increase over the previous year. The company currently operates in 11 countries, including Spain, Mexico, Peru, Panama, and most recently, Portugal.

Cirsa has made over 130 acquisitions since 2015, including major stakes in Apuesta Total in Peru and Casino Portugal. The company’s IPO is expected to support this ongoing acquisition strategy.

The post Cirsa to List Shares in Spain and Raise €400 Million in IPO appeared first on iGaming.org.