Hotelbeds Hires Banks to Prepare IPO

Buyout fund Cinven and Canadian pension fund CPPIB have hired Morgan Stanley and Evercore to prepare an initial public offering for Hotelbeds, Expansion newspaper reported on Friday citing unidentified market sources.

Hotelbeds, a company based in Palma de Mallorca which sells hotels rooms to wholesale customers such as travel agencies and tour operators, is worth between 4.5 billion and 5.5 billion euros ($4.89 billion-$5.97 billion), Expansion said.

Cinven and CPPIB, which bought Hotelbeds from German tourism group TUI in 2016 in a deal worth 1.17 billion euros, could opt for a direct sale, the newspaper said.

Spokespeople at Hotelbeds, Cinven, CPPIB, Morgan Stanley and Evercore did not immediately return messages seeking comment.

($1 = 0.9209 euros) (Reporting by Inti Landauro; editing by Jason Neely)

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