London-based CityFibre has raised £16.5m (US$27m) in an IPO today on UK junior stock market AIM.
The listing, valuing the venture capital backed group at around £31.4m, falls short of the £25m it is understood to have been seeking from an IPO before…
London-based CityFibre has raised £16.5m (US$27m) in an IPO today on UK junior stock market AIM.
The listing, valuing the venture capital backed group at around £31.4m, falls short of the £25m it is understood to have been seeking from an IPO before Christmas.
Fund management firm Herald Investment Management participated in the placing and now holds a 6.4% stake in the company.
Liberum Capital and FinnCap managed the IPO, and proceeds will go towards expanding CityFibre’s network across the UK, enabling it to realise a recent partnership struck with Peterborough City Council to deploy fibre in the area.
The group has operations in more than 50 towns and cities throughout the UK, with over 30,000 km of fibre in the ground.
CEO Greg Mesch said: “The IPO will enable CityFibre to accelerate its growth ambitions and continue to capitalise on a number of exciting opportunities.
“Our development pipeline is already under way for 2014 in which we plan to bring further gigabit cities online whilst continuing to invest in our established UK footprint. The need for pure fibre connectivity continues to drive our business and we look forward to updating both the market and our shareholders on our strategic progress over the coming months.”
According to CityFibre, more than 100 towns could benefit from the ultra-high speed connectivity it is able to provide.
