Manx Telecom in £156m float

ISLE of Man telecoms group Manx Telecom is to raise £156.3m floating on the Alternative Investment Market (AIM).

The company provides more than two-thirds of mobile and fixed-line services on the island and is majority owned by HgCapital which bought the business with CPS Partners from Telefónica for £159m in 2010.

Shares in the company have been placed at 142p each with institutional investors.

In a statement it said the float would raise £89.2m for the company and £67.2m for HgCapital and CPS which are selling all their shares. The company said it would use the money to repay outstanding debts and loan notes.

Chief executive Mike Dee said: “The IPO will be a new chapter for Manx Telecom as a fully independent quoted company. We are delighted with the interest received from institutional investors during the marketing exercise which will provide a solid and supportive shareholder base for the future.

“The oversubscription for the shares is testament to the quality and hard work of our employees, and I would like to thank all of our people for their tireless commitment to the company.”