Billionaire Brothers Set to Take Petrol Empire Public
- Billionaire brothers Mohsin and Zuber Issa preparing EG Group for IPO
- Potential $13bn valuation based on last year’s earnings
- IPO could take place this or next year
- EG Group to float under Cumberland Farms name
- US market accounts for largest share of business
- Sold British facilities to Asda in 2023
Billionaires Mohsin and Zuber Issa are gearing up to take their petrol station empire, EG Group, public with a potential New York Stock Exchange listing worth around $13bn (£10.7bn) this or next year. The move would allow private equity partner TDR Capital to reduce its stake in the business after investing over a decade ago. Zuber Issa mentioned that ‘the road map is starting now’ for an IPO, with EG Group set to float under the name Cumberland Farms, acquired American c-store operator six years prior. The US market makes up the largest portion of their business, having purchased 800 convenience stores from Kroger in 2018 for £1.7bn and expanded operations across 30 states. In 2023, they sold British facilities to Asda, a supermarket chain they co-owned with TDR. Zuber Issa retained his shareholding in EG Group.
Factuality Level: 8
Factuality Justification: The article provides accurate information about EG Group’s plans for an IPO, its potential valuation, and its operations in the US and UK markets. It also mentions the involvement of TDR Capital as a private equity partner. However, it contains some irrelevant details about Tesco and Sainsbury’s winning Christmas, which is not directly related to the main topic.
Noise Level: 6
Noise Justification: The article provides relevant information about EG Group’s potential IPO and its expansion in the US market, but it also includes some irrelevant details about the brothers’ previous ownership of Asda and their stake in Tesco and Sainsbury’s.
Financial Relevance: Yes
Financial Markets Impacted: Yes
Financial Rating Justification: The article discusses an upcoming IPO for EG Group, a petrol station empire, which could impact financial markets as it may value the firm at around $13bn and potentially affect the stock market. The company operates in multiple countries and has recently sold its British facilities to Asda. Additionally, Zuber Issa sold his stake in Asda last year and launched a new business, EG on The Move.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: No extreme event mentioned in the article
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