Midwich Group has announced the successful pricing of its initial public offering (IPO), which will raise gross proceeds of £75.2 million from 36,157,010 new and existing ordinary shares at 208 pence per Ordinary Share by Investec Bank and Admission to trading on AIM.
Following the Placing, Midwich will have 79,448,200 Ordinary Shares in issue, all of which will be admitted to trading on AIM.
The Placing Price of 208 pence per Ordinary Share will equate to a market capitalisation of approximately £165.3 million on Admission. Of the £75.2 million raised from the Placing, approximately £26 million is for the benefit of the Group to partially pay down debt, fund the final cash consideration relating to the acquisition of Kern & Stelly, and repay existing shareholder loans. Approximately £49.2 million will go to selling shareholders.
Stephen Fenby, MD of Midwich, and related parties will hold approximately 27.9% of the issued ordinary share capital of the Group and in total, other directors, senior management and employees will hold approximately 26.6% of the issued ordinary share capital of the Group.
Selling Shareholders have committed to one-year lock-up arrangements with Investec following Admission and have also signed up to a restricted sale period of a further four years with the Group.
Stephen Fenby commented: “We are delighted to announce the pricing of our IPO and forthcoming admission to AIM. Today represents an important milestone in the Group’s history and becoming a public company will further enhance Midwich’s leading competitive position as a specialist AV and document solutions distributor to the trade market. I would like to welcome our new shareholders and I am very excited about the next stage of our journey as we continue to grow both in the UK and internationally.”