ONLINE car sales network AutoTrader.com is making preparations to list as a public company, according to Bloomberg, following in the footsteps of Facebook which last week filed for a staggering $5bn IPO.
The website, which is owned by Cox Enterprises (75 per cent) and Providence Equity Partners (25 per cent), is said to be currently in discussions with banks about the move.
This could be a bid to cash in on the rising automative industry, where sales of new vehicles in the US are returning to pre-recession levels and used-car prices are at a near record.
AutoTrader took a stab at floating in 2000, but withdrew the offering before it hit the market.
The car sales website could have taken a confidence boost from the string of recent internet flotations. Shares in LinkedIn, Groupon and Zynga – which listed last year – jumped last week on news of Facebook’s coming public offering.
All three internet companies are trading above their IPO price.
Founded in 1997, AutoTrader attracts more than 14m buyers each month to its website.
AutoTrader declined to comment.
