Liverpool-based Applied Nutrition plans a significant IPO in London, seeking to raise up to £220m.
- The IPO’s share price range is set between 136p and 160p per share, as per Tuesday’s announcement.
- With the support of JD Sports, the IPO could culminate in a market capitalisation of up to £400m.
- Four notable entrepreneurs have committed a total of £25m as cornerstone investors in the IPO.
- The move is a potential boost for the London Stock Exchange amidst its current decline in new listings.
Liverpool-based Applied Nutrition is preparing for a substantial initial public offering (IPO) on the London Stock Exchange, with aspirations to raise as much as £220 million. This upcoming IPO could represent one of the largest stock market debuts in London for the year, a notable achievement for the company.
The company has set a price range for the shares between 136p and 160p, as reported on Tuesday, indicating their strategic pricing approach to attract investors. The offering includes up to 137.4 million shares, primarily being sold by certain existing shareholders. This signifies a valuable opportunity for investors looking to capitalise on the current financial climate.
Backed by JD Sports, which holds a 32% stake acquired in 2021 ahead of Applied Nutrition’s US expansion, the company’s anticipated market capitalisation is projected to reach between £340 million and £400 million. This support highlights the sport health brand’s solid standing and growth potential within the sector.
Furthermore, the IPO features significant commitments from four prominent North West entrepreneurs who have pledged a combined £25 million as cornerstone investors. Among these investors is Mohsin Issa, co-founder of EG Group. The involvement of these entrepreneurs not only adds credibility but also indicates strong confidence in the company’s trajectory.
The IPO is poised to bring positive momentum to the London Stock Exchange, which has experienced a decrease in new listings and notable firms opting for markets abroad. Compared to just nine firms listed this year and a disappointing 23 IPOs in 2023, Applied Nutrition’s offering could signal a rejuvenation for the exchange. Experts anticipate a resurgence in 2025, supported by investor optimism following regulatory overhauls and successful recent floats like Raspberry Pi.
Deutsche Numis has been appointed as the sole sponsor and global coordinator for the IPO, ensuring streamlined processes and strategic guidance throughout the offering. This collaboration underscores a meticulous approach to managing the financial intricacies involved in an IPO of this magnitude.
The anticipated IPO of Applied Nutrition signifies a significant event for both the company and the London Stock Exchange, potentially revitalising market interest.
