Exclusive-Travelex owners considering sale of company –sources
Reuters
Published Sep 28, 2023 19:14
Updated Sep 28, 2023 19:25
By Amy-Jo Crowley and Pablo Mayo Cerqueiro
LONDON (Reuters) - Travelex's owners are exploring a sale of the British currency exchange, which fell into administration in 2020, after bolstering its finances, four sources familiar with the matter told Reuters.
The owners, which include former bondholders that took control of Travelex through a debt restructuring, are working with advisers at Barclays (LON:BARC) and Smith Square (NYSE:SQ) Partners to gauge buyer interest, said two of the people.
An auction is expected early next year, one added.
Deliberations are still preliminary, and there is no certainty that a sale will proceed, said the people, who declined to be named because the talks are not public.
Travelex's 2022 accounts show Barings LLC as its largest investor with a 52% stake, followed by Corre Partners Management, Vector Capital Management and Mariner Investment Group.
Barings, Barclays, Smith Square and Vector Capital declined to comment. Corre, Mariner and Travelex did not immediately respond to requests for comment.
Formerly part of now-defunct Finablr, Travelex's fortunes quickly turned due to the coronavirus pandemic and a cyberattack that forced it to temporarily disable its systems.
It then went through a pre-pack administration that led to more than 1,300 job losses and saw its creditors seize control.
Travelex's revenues have since rebounded as international travel resumed with the easing of pandemic restrictions, generating sales of nearly 369 million pounds ($450 million) last year and a profit after tax of 7 million pounds.
Last week, Travelex announced a 90 million pound debt refinancing through a five-year senior term facility.
($1 = 0.8195 pounds)
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Written By: Reuters
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