THE first West Midlands IPO since the EU referendum has been launched, ahead of a scheduled flotatation in early August.
Franchise Brands, headquartered in Kidderminster, operates three brands – ChipsAway, Ovenclean and MyHome – through 330 franchisees. It predominantly operates in the UK but has franchisees in 12 countries.
In 2015 it generated pre-tax profits of £1.1m on revenues of £4.4m.
The group is planning to raise up to £3.5m on the Alternative Investment Market, although it has not released details of how much of the company will be available.
Franchise Brands’ two major shareholders are its co-founders, Saracaens chairman Nigel Wray who holds 38.6% and the company’s executive chairman Stephen Hemsley, who has 35.6%. The duo worked together growing franchise business Domino’s UK.
Mr Hemsley said: “Since 2008 we have built a profitable business in our existing brands as well as having developed a platform of central services such as marketing.
“A flotation will allow us to capitalise on this strong foundation and further expand the Group through the acquisition of complementary businesses.
“Franchise Brands has in place a highly experienced management team and Board and I am pleased to have reunited a number of the individuals that I have worked with previously over many years at Domino’s.”
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