* Posts 0.6 mln pound pretax profit on continuing operations
* Sees IPOs as area of expansion in 2013
* Remains cautious on economic outlook
By Alice Baghdjian
LONDON, March 21 (Reuters) - British investment bank PanmureGordon said it expected business from new share listingsto expand in 2013, as a stock market rally encourages previouslycautious companies to consider going public.
The 137-year-old bank, which completed four initial publicofferings (IPOs) in 2012, said it had seen interest from Britishand Asian companies wanting to float in London.
"IPOs are one area where we see opportunity to build onstrengths," chief executive Phillip Wale told Reuters onThursday.
"That's the area (in which) I see most expansion in 2013,markets willing," he said.
Subdued activity due to the financial crisis has hit smallbrokers hard in recent years, but London is seeing an upturn inbusiness, particularly of companies seeking to sell shares asthe benchmark FTSE-100 index rises to five-year highs.
The pick-up in stock markets has encouraged companies totest investor appetite for IPOs, with recently floated CrestNicholson and Countrywide set to be joinedby esure on the London stock exchange this year.
Panmure most recently acted as broker to nanotechnology firmGraphene Nanochem, formed following a reverse takeover byAIM-listed Biofutures.
Panmure posted a pretax profit from continuing operations of0.6 million pounds ($907,900) in 2012, compared with a loss of6.3 million the previous year.
British investment banking boutique Shore Capital also reported a jump in 2012 pretax profit earlier this week.
Panmure said it remained cautious about the fragile economicoutlook, but Wale said there was still demand from investors.
Panmure said it had restored bonus payments to key staff. Itis not recommending a dividend.