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Financial Services

CAB Payments makes low key debut in rare London IPO

CAB Payments made a stuttering start to life on the London Stock Exchange with shares in the cross-border and foreign exchange group dropping 5% in early trades.

Notable for being one of the few listings in London this year, private equity owner Helios sold almost 40% of its shares in the company in the float at 335p, raising £292mln.

Ahead of trading, CAB was valued at £851mln.

Chief executive Bhairav Trivedi said the listing would broaden its reach and “bring more of the transparency that we value so highly throughout our business model”.

CAB Payments' wholly-owned subsidiary, Crown Agents Bank, has a UK banking licence, which the company says makes it a preferred provider to other banks, governments and aid organisations.

Last year, the group as a whole increased underlying profits (EBITDA) 265% to £55mln as total income more than doubled to £109.4mln, of which £63mln was FX, £34mln from payments and £12mln from banking services.

Shares were trading at 315p at noon.

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