21st Mar 2014 10:41
LONDON (Alliance News) - Digital marketing services XLMedia PLC started trading on London's AIM market Friday at a premium of more than 25% to its initial public offering price.
XLMedia raised USD69.5 million in its IPO, which the company called "significantly" oversubscribed and which saw 67 million new shares and 18.3 million existing shares sold at a price of 49 pence per share. The IPO price gave XLMedia a market capitalisation of USD154.5 million.
In its first morning of trading, XLMedia shares were quoted at 61.5p, down 3.9% from its open Friday but 26% above the IPO price.
XLMedia provides marketing for online gambling operators, running over 2,000 websites in 17 languages. The company provides customer traffic for operators including Ladbrokes PLC, William Hill PLC and 888 Holdings PLC, amongst others.
It said will use the proceeds to fund acquisitions and country-specific joint ventures as well as for investment in its information technology systems.
For the financial year 2012 the company posted revenues of USD26.1 million, and earnings before interest, tax, depreciation and amortisation of USD12.5 million.
"Our admission to AIM represents a major step forward for our business as we seek to capitalise on a number of high growth opportunities that exist across our business," said Chief Executive Ory Weihs in a statement.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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