LONDON (Alliance News) - Applied Graphene Materials PLC saw its shares leap over 17% on the first morning of trading on AIM, after an initial public offering that initially gave it a market capitalisation of GBP26.2 million.
The graphene products company had raised GBP11 million through the placing of 7.1 million shares at 155 pence each in tandem with the IPO. In total 16.9 million shares were listed in AIM.
It said it will use the funds from the placing to increase headcount, infrastructure and production and develop new intellectual property.
However, its shares were up 17.3% at 217 pence Wednesday morning, giving it an increased market capitalisation of GBP36.7 million.
IP Group, which has been a major early investor in Applied Graphene, saw its shares rise 1% to 155.5 pence.
Meanwhile, ladies fashion retailer Bonmarche Holdings PLC saw its shares rise 2.6% to 218.95 pence in the first morning of trading on AIM.
The company, which specialises in women's clothing for over 50's, had said it would raise gross proceeds of GBP40 million in its IPO on AIM after pricing the offer at 200 pence a share.
However, on the main market, shares in Renewable energy generator Infinis Energy PLC fell 1.3% to 266.375 pence in early dealings on its first day of trade.
The company had priced its initial public offering at 260 pence a share, right at the bottom end of the previously set price range for the offering.
Terra Firma, the private equity company owned by Guy Hands, earlier this month set the price range for the IPO of the wind power company at between 260 pence and 310 pence a share, which would have given it a value of up to GBP930 million.
The IPO is important for Terra Firma, which is trying to bounce back from the GBP1.75 billion loss of its investment in EMI, the British music group that was seized by its lender Citigroup in 2011. Terra Firma has reinvented itself as a green energy investment company and is determined to prove it can produce strong returns for its investors.
Infinis is the UK's largest producer of electricity from landfill gas and also runs onshore wind farms. Revenues have increased 19% and Ebitda 25% over the past three years. It is proposing to pay a dividend equivalent to an annual payout of GBP55 million for the period between its IPO and the end of the financial year in March 2014.
By Steve McGrath; stevemcgrath@alliancenews.com; @SteveMcGrath1
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