2nd Dec 2019 11:48
(Alliance News) - Promotional products firm Pebble Group PLC said Monday it raised GBP135 million for the company and its existing shareholders as part of its initial public offering on AIM in London.
The IPO and conditional placing consists of 75.4 million new shares and 53.5 million existing shares at 105p each and is with institutional investors. It is set to raise gross of approximately GBP135 million, of which GBP79 million will be for the company and GBP56 million for existing shareholders.
At the 105p IPO price, Pebble Group's market capitalisation upon starting to trade on Thursday will be about GBP176 million.
The GBP79 million for the company will be used mostly to repay existing debt facilities in full and settle the outstanding consideration from its Facilisgroup acquisition. After this, Pebble Group will be debt free.
Facilisgroup is Pebble Group's software-as-a-service business, providing subscription-based services to small and medium enterprise promotional product distributors in the US and Canada. Through its proprietary software, Facilisgroup's SaaS technology platform allows for the improvement of order management, sales analysis, and reporting.
Along with Facilisgroup, Pebble's other main businesses is Brand Addition, which provides promotional products to brands.
Selling shareholders will receive GBP56 million gross, with Elysian Capital retaining a 14% stake in Pebble while management keeps a stake of around 9%.
Funds from the IPO also are to assist in future expansion and boost Pebble Group's profile, as well as its ability to provide employee incentives.
Upon admission, Pebble will have 167.5 million shares in issue with a free float of about 48%.
Berenberg is acting as sole global coordinator and broker for the deal, while Grant Thornton is the company's nominated adviser
Chief Executive Christopher Lee said: "I am very pleased to announce a successful conclusion to our IPO and plans to join AIM. The fundraising is well supported by a broad range of significant investors, including a number of blue-chip institutions."
By Anna Farley; [email protected]
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Related Shares:
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