Wanderlust- and experiential-inspired hotel brand Selina launched its IPO on Thursday after recently closing its merger with special purpose acquisition company BOA Acquisition Corp. The fast-growing, London-based brand with approximately 43,000 beds across 163 open and secured properties in 25 countries and six continents, has a market cap between US$1 billion and US$1.2 billion, according to Rafael Museri, co-founder and CEO of Selina.

The Business Combination was approved by BOA stockholders at a special meeting held on October 21. Samba Merger Sub, Inc., a subsidiary of Selina, merged with and into BOA, with BOA surviving the merger and, as a result of that merger, BOA became a direct, wholly-owned subsidiary of Selina, with the securityholders of BOA becoming securityholders of Selina. Selina’s ordinary shares and public warrants will begin trading on the Nasdaq under the ticker symbol “SLNA” and “SLNAW,” respectively.

In addition to potential cash proceeds from BOAS’ cash in trust, the business combination is expected to provide Selina with US$54 million of capital via its private placement financing, and US$118 million from subscriptions to the US$147.5 million principal amount of 6% senior unsecured convertible notes due 2026 announced on April 25, 2022 – each to fund Selina’s operations and continue its plans to achieve profitability.

Selina, which drives growth primarily by converting underperforming hotels and creates unique spaces with coworking, recreation, wellness and local experiences, delivered US$86 million in revenue during the first half of 2022, up 142% year-over-year. It also improved occupancy by 60% to 45.5% and expects to be EBITDA positive in 2023 and generate approximately US$823 million in revenue by 2024. Growth will be driven by new openings, operational improvements, and the maturation of its portfolio.

Read the full article at HOTELS Magazine