Trading in the shares of Cazoo, the British used car seller that opted to list in the US, began on the New York Stock Exchange today.
The company completed its business combination with Ajax, a special purpose acquisition company or SPAC hedged by US hedge fund hotshot Dan Och.
The company has a stock market valuation of around US$8bn, making it the most valuable UK outfit ever to list across the pond.
The listing could bring plans for the Daily Mail and General Trust (LSE:DMGT) PLC (DMGT) to go private a step closer. The DMGT has a stake of around 16% in Cazoo and has already indicated it will distribute this to shareholders in the form of a special dividend once the listing goes through.
“Today is an important and exciting day for Cazoo as we enter the public markets,2 said Alex Chesterman, the founder and chief executive of Cazoo.
“Since we announced the transaction earlier this year, we have continued to see record growth in our revenues and gross profit, have brought our UK vehicle reconditioning in-house, providing full control of our operations and logistics and have started buying and reconditioning cars in mainland Europe ahead of our launch later this year and we have launched a fully integrated all-inclusive monthly car subscription service in the UK as well as our car buying service to source inventory directly from consumers,” he added.
Daniel Och, the founder of Ajax, said his team was very pleased to have closed the business transaction with Cazoo.
“By leveraging data and technology, Cazoo is delivering a superior car buying and selling experience in the UK and mainland Europe and building a strong competitive moat. With the large and fragmented nature of the market and incredibly low digital penetration, Cazoo has multiple levers to drive its growth and long-term sustainable shareholder value as it transforms the market,” Och said.Ca