MARKET REPORT: Amcomri float gives Christmas atmosphere at the Aim market
London’s junior Aim market received a Christmas present yesterday to round off a tough year with Amcomri’s float.
The group focuses on the acquisition and improvement of specialist engineers and the IPO comes after Aim has shrunk to its smallest size in 23 years in terms of the number of companies.
Amcomri has raised £12 million through an initial public offering to fund its continued growth strategy. The placement price was 55p, with 21.8 million new shares issued, giving an initial market capitalization of £39.5 million.
The company’s co-founder and non-executive vice chairman is Paul McGowan, who has worked in corporate finance and restructuring for more than twenty years.
He is executive chairman of Hilco Capital, the restructuring and asset-based lender.
McGowan has particular expertise in stressed or distressed situations, including transactions involving UK department stores HMV, Habitat and Allders.
Boost: Amcomri focuses on the acquisition and improvement of specialist engineers and the IPO comes after Aim has shrunk to the smallest size in terms of number of companies in 23 years
Investors seemed enthusiastic about the opportunity presented by Amcomri, sending the share price up to 57.5p at the end of the first day of trading.
London benchmarks were preoccupied with central banks’ caution in the face of persistent inflation.
But traders are taking some comfort from a lower-than-expected US inflation gauge published yesterday.
The FTSE 100 index recovered from sharp earlier losses to end down just 0.3 percent, or 20.71 points, at 8084.61, and the FTSE 250 index ended up 0.3 percent, or 51.31 points, at 20450.69.
Water companies led the retreat after being among the few gainers in the previous session as analysts discussed Ofwat’s latest pricing decisions.
United Utilities fell 1.7 percent, or 18.5p, to 1045.5p and Severn Trent lost 2.3 percent, or 58p, to 2516p, after analysts at Goldman Sachs cut their price targets. Although analysts at Barclays, on the other hand, had set targets for both.
Elsewhere, JD Sports lost 2.2 percent, or 2.1 cents, to 95 cents, along with a drop in Nike after second-quarter earnings, with the US sportswear giant seeing a significant drop in sales in the third quarter and saying this is time and would cost money. to get things done.
And the major oil companies suffered from the fall in crude prices due to cautious economic growth and oversupply concerns, with BP finishing flat at 379.05p and Shell down 0.5 percent, or 11p, fell to 2394.5p.
But on the upside, in a firmer property sector, Segro rose 2 percent, or 13.6p, to 695.6p, after Citigroup analysts restarted coverage of the warehouse group with a buy rating.
Services group Rentokil Initial also rose 2 percent, or 8p, to 399.6p, as investors focused on the recent share build-up by US activist investor SW Investment Management.
On the FTSE 250, technology company Raspberry Pi was also raised by taking steps to build shares, rising 15.8 per cent, or 80p, to 588p, while a US investment firm announced a 3.59 per cent stake.
IP Group added 2.9 per cent, or 1.5p, to 52.8p after two listed companies in its life sciences portfolio, Intelligent Ultrasound and Abliva, agreed to a cash takeover offer.
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