Patisserie Holdings takes the cake with £170m IPO
BIRMINGHAM-based pastry shop and café owner Patisserie Holdings will be valued at £170m on its admission to the Alternative Investment Market, it announced today.
The company, which operates the Patisserie Valerie, Druckers and Philpotts brands, said it was making an IPO comprising 46,645,794 new and existing ordinary shares with a placing price of 170p.
Patisserie Holdings has conditionally raised £32.8m (before expenses) through the placing, the net proceeds of which will be used to repay the group’s existing outstanding senior debt and shareholder loans. In addition, the selling shareholders will receive gross proceeds of £46.5m.
At admission to AIM, the company will have 100,000,000 Ordinary Shares in issue with a free float of 48.4%.
Following the placing, executive chairman Luke Johnson, the largest shareholder, will own 42.7% of the company. The remaining directors and members of senior management will own 5.9% of the business.
Conditional dealings begin on the London Stock Exchange today (Wednesday) and the company has been given the appropriate ticker “CAKE”.
Admission and the start of unconditional dealings will begin on May 19.
Johnson said: “Today’s announcement marks a key step in the development of the group. We have grown the business from eight stores to 138 today, and I’m delighted that our new investors have recognised the potential to roll out Patisserie Valerie further. We look forward to a strong future as a quoted company.”
The group is a leading UK branded café and casual dining group offering cakes, pastries, snacks, meals and hot and cold drinks from its trading outlets which in addition to the three mentioned also include Baker & Spice and Flour Power City Bakery.
