Yorkshire’s first float of 2015 values PTSG at £45m
YORKSHIRE will have its first stock market flotation of 2015 when Premier Technical Services Group (PTSG) debuts on the London Stock Exchange tomorrow.
The Castleford-based business will raise £8m – of which £3m will go to its current owners – as it lists on the Alternative Investment Market (AIM) with a value of £45.1m. It will be the first from the region to float this year, following companies including Card Factory, Polypipe and Xeros which listed in 2014.
PTSG has 10 operational bases around the UK, employing more than 220 people, and specialises in the design, installation and testing of electrical systems and also carries out high level cleaning services.
It has placed 9.62m shares and sold 5.77m shares, representing 17.7% of the company, at 52p per share which will raise £5.0m to fund growth and £3.0m for its current shareholders.
Chief executive Paul Teasdale and chairman John Foley will each earn £1.04m and retain 28.9% while Hawk Investment Holdings, a company controlled by Jersey entrepreneur Bob Morton, will earn £920,000 and retain 24.6%.
Paul Teasdale, chief executive at PTSG, which made a pre-tax profit of £2.6m on turnover of £13.9m in its last-published accounts for the year to December 2013, said the company’s decision to float signifies a “huge step” in its development.
“Since PTSG was established in 2007, we have grown year-on-year and we want an IPO to not just help us maintain that but accelerate it,” he said.
“With circa 2,000 three and five year contracts, we are a group which enjoys an enormous amount of repeat business brought about by the delivery of quality services demanded by our customers. We offer multiple cross-selling opportunities which are made possible by the expertise our skilled teams possess.
“As a niche specialist service provider we have built a business which is a partner of choice for many facilities management companies – providing services they do not deliver themselves.”
He added: “Floating on the open market is an important step for PTSG, one I believe will hugely benefit the company going forward. Having recorded record turnover in 2014, this is an exciting time for everyone connected with PTSG.
“Despite our rapid rise, we are acutely aware of the need to continually reinvest in the company in order to secure new works and lay the foundations of the future of PTSG, something we know floating will help us to achieve.”
The company was advised by PwC, led by Leeds senior partner, Arif Ahmad, who has already worked on one successful IPO this year, of North East sofa company ScS.
