The Daily Express - Floats Steady and Firms Are Awash With Cash

I am pleased to share some coverage of the London Stock Exchange's AIM stock exchange in the Daily Express, the UK's 6th most widely distributed newspaper with hard copy circulation of 600,000.  The article discusses IPO and Secondary Offering activity on the London Stock Exchange's AIM and the fact that seven U.S. companies completed IPOs on London's AIM last year, more than from any other country outside the UK.

Peter Cunliffe, City Editor, Daily Express, London, England

WHILE the number of new London AIM flotations has held steady, there has been a boom in cash raised on London's AIM.

US-based London AIM IPO specialist firm, AIM Advisers, said the overall strength of the London Stock Exchange’s AIM showed investor confidence was still high.

AIM Advisers, which helps US companies complete IPOs on the London Stock Exchange's AIM, has based its assessment on a study of listing activity during 2011.

It said 45 companies joined London's AIM through Initial Public Offerings (IPOs) during the year, one less than last year.  Of those, 38 were operating companies listing on London's AIM rather than investment firms.

But they raised a total of £516 million ($826 million) on London's AIM, an average of £14 million ($22 million) each, giving them an average market value of £41 million ($66 million).

Mark McGowan, Managing Director of AIM Advisers, said: “Generally speaking, the companies that completed IPOs on the London Stock Exchange's AIM during 2011 were smaller and stronger and simply required less growth capital.”

While the number of London AIM IPOs was satisfactory, he said secondary offerings on London's AIM were booming, with £3.6 billion ($5.8 billion) raised last year.

McGowan continued: “The strength of secondary offerings on London's AIM is a positive sign for London AIM IPOs over the medium-to-long-term as London AIM investors remain confident in the market.”

Seven American companies completed IPOs on London's AIM last year, more than from any other country outside the UK.