12th Jan 2015 10:32
LONDON (Alliance News) - Tool and equipment hire company HSS Hire Group Ltd and drug discovery and development company Redx Pharma Ltd both announced plans for London listings Monday.
HSS Hire said it plans to list on the Main Market of the London Stock Exchange.
HSS plans to use the entire primary proceeds of around GBP103 million from the listing to reducing its "current leverage and provide greater capacity for additional capital expenditure to drive future growth in the business, and for the payment of transaction fees." It expects to have a free float of at least 25% of its issued share capital following listing.
HSS expects admission to take place in February, and that following admission it will be eligible for inclusion in the FTSE UK indices.
JP Morgan Securities PLC is acting as global co-ordinator, joint bookrunner and sponsor. Numis is acting as joint bookrunner, and Joh Berenberg, Gosslet & Co KG as co-lead manager.
Alongside the initial public offering, HSS also is appointing Neil Sachdev as its deputy independent non-executive chairman.
The company said that from the year ended December 31, 2012 to the year ended September 27, 2014, its revenue grew at a compound annual growth rate of 17%, and adjusted earnings before interest, tax, depreciation and amortisation grew at a CAGR of 19%. Its market share in the UK increased to 4.7% from 3.6% in the same period, it said.
Redx Pharma plans to raise GBP20.0 million in its initial public offering on AIM, and it also expects to commence trading in February.
The company plans to use the funds raised to progress its current pipeline of oncology and infection disease assets, and to support the launch of a third therapeutic subsidiary focused on immunology, supported by grant funding from the UK government's Regional Growth Fund Round 5.
"The placing and admission to AIM is another important milestone in Redx's development. It will strengthen the business and support our objectives of progressing our programmes and achieving early profitability," said Chief Executive Neil Murray in a statement.
Shore Capital is acting as Redx's nominated adviser and broker.
HSS and Redx take the number of initial public offerings announced so far this year to three. Last Thursday, Trainline Investment Holdings Ltd confirmed plans to listed on the Main Market of the London Stock Exchange to raise GBP75 million.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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