26th May 2015 09:28
LONDON (Alliance News) - Shares in Barbados hotel operator Elegant Hotels Group PLC began trading on AIM Tuesday, as Boston-based healthcare technology company PureTech Health PLC announce plans to list on the main market of the London Stock Exchange in June.
PureTech expects to raise around USD160 million in its initial public offer, and expects to have a free float of at least 25%. It said it expects after admission to be eligible for inclusion in the FTSE UK indices.
Jefferies International Ltd is acting as its global coordinator, sole sponsor and joint bookrunner, and Peel Hunt LLP as joint bookrunner.
PureTech currently has twelve operating companies developing technologies to address markets in healthcare. This includes Akili Interactive Labs, which is developing a video-game platform to diagnose and treat cognitive functions, and clinical-stage company Gelesis, which is developing treatments for obesity and related disorders.
"This IPO is a significant strategic step for PureTech. The proceeds of the fundraising will help PureTech drive our most advanced product candidates to revenues. With the acceleration of scientific discovery and the convergence of new and disruptive technologies being applied to life sciences, we believe the healthcare industry is on the cusp of a major transformation," said Chief Executive Daphne Zohar in a statement.
Elegant Hotels has raised GBP63.0 million through the placing of 63 million shares at 100 pence each, and as a result has a market capitalisation at admission of around GBP88.8 million.
Shares in Elegant Hotels are trading up 1.5% at 101.55 pence Tuesday morning.
The company has five luxury hotels, which it said make up almost 25% of the quality leisure tourist room stock in Barbados, and a beachfront restaurant. The hotels consist of 333 suites and 150 rooms, with four of the five hotels situated along the prestigious west coast of Barbados, known as the "Platinum Coast".
Elegant said it plans to pay a total annual dividend equivalent to a yield of 7%.
It will use GBP32.2 million of the initial public offering proceeds to repay GBP27.0 million of its existing debt, with the remaining funds to pay transaction related fees and as additional working capital to support and implement its growth strategy.
"Our AIM listing will increase the profile of the company and its brands and, with the funds raised via our flotation strengthening our balance sheet, also provides the platform for Elegant Hotels to pursue its longer term expansion plans in the Caribbean," said Chief Executive Officer Sunil Chatrani in a statement.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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