(Alliance News) - Wholesaler Kitwave Group PLC on Friday said it plans to join London's AIM junior market, raising GBP64.0 million in the process.
The company, which delivers frozen and chilled goods, such as ice creams, sweets and branded drinks, said it will be valued at GBP105.0 million on admission.
It will raise GBP64.0 million through the placing of 42.7 million new shares at 150 pence each. Existing shareholders will sell stock worth GBP17.6 million.
It plans to list on AIM on May 24.
"We are delighted with the strong support shown by our new investors, which we view as a highly positive endorsement of Kitwave's strategy to grow and capitalise upon the large addressable market that we are well positioned to serve," Chief Executive Officer Paul Young said.
"Kitwave has worked hard to build its reputation as a trusted brand ambassador and provide the excellent levels of service that we pride ourselves on. We are confident that Admission to AIM will enable us to further improve our services to existing and prospective customers across the UK and globally."
The North Shields, North East England-based firm said it operates in an addressable market thought to be worth GBP26.1 billion in 2020. It is expected to grow to GBP32.6 billion by 2025.
In the 12 months ended April 2020, the company's revenue amounted to GBP399.0 million. It posted adjusted earnings before interest, tax, depreciation and amortisation of GBP17.5 million.
"This growth has been achieved both organically and through a strategy of acquiring smaller, predominantly family owned, complementary businesses in the fragmented UK grocery and foodservice wholesale market," Kitwave added.
By Eric Cunha; ericcunha@alliancenews.com
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