City welcomes Maiden placing The Investment Column
The placing will raise pounds 17.9m to repay debts of pounds 37m incurred when chief executive Ron Zeghibe bought out venture capital partners Morgan Grenfell Development Capital last year. Directors will retain about 60 per cent of the equity after the flotation
On one level, Maiden is benefiting from scarcity value. Shares in More O'Ferrall, the only other quoted operator in the sector, have advanced in leaps and bounds on the back of strong growth in UK outdoor-advertising spend, which last year grew by up to 9 per cent. The industry forecasts similar advances this year.
A consolidation of the sector, which last year saw Maiden buy British Transport Advertising for pounds 1.8m, has led to fewer and more professional players in the sector. Site illuminations, the steady growth in roadside traffic and better audience measurement techniques have also helped. And the increased fragmentation of the television, magazine and radio markets means poster sites could become the only medium capable of delivering mass audiences to advertisers.
How much all this is worth to investors is anybody's guess. More O'Ferrall, the market leader in the UK, stands on a forward PE of almost 18 times and should command a higher rating thanks to a good track record of organic growth and lower debt levels. Shares in Maiden are tightly priced at 15 times future earnings, but they should still go at a decent premium.
- 1 Half of young women unable to ‘locate vagina’ and 65% find it difficult to say the word
- 2 Perez Hilton apologises for Jennifer Lawrence naked photo leak
- 3 A teacher speaks out: 'I'm effectively being forced out of a career that I wanted to love'
- 4 Mexican woman becomes world’s 'oldest person' at 127
- 5 Jennifer Lawrence 'naked sex video' will be leaked threatens 4Chan celebrity photo hacker
Perez Hilton apologises for Jennifer Lawrence naked photo leak
Ariana Grande nude photos leak: 'These are completely fake' say singer's representatives
A teacher speaks out: 'I'm effectively being forced out of a career that I wanted to love'
Israel to appropriate 400 hectares in West Bank for ‘state use’
Kate Upton nude pictures leak: Model's representatives 'looking into' authenticity of naked images
Rotherham child sex abuse scandal: Labour Home Office to be probed over what Tony Blair's government knew - and when
Robin Williams Emmys tribute led by Billy Crystal criticised for including 'racist' joke about Muslim woman
The Rotherham child abuse scandal is a tale of apologists, misogyny and double standards
What do immigrants really think of Britain? Polish immigrant's Reddit post goes viral
Do you realise just how foolish the UK looks?
Ashya King: Parents of five-year-old boy refused permission to visit him in hospital and denied bail at Spanish court
iJobs Money & Business
£40000 - £50000 per annum + benefits+bonus+package: Harrington Starr: SQL Impl...
£85000 per annum: Harrington Starr: Head of IT (Windows, Server, VMware, SAN, ...
£40000 - £50000 per annum: Harrington Starr: You will not be expected to hav...
£500 per day: Harrington Starr: SQL DBA/Developer SQL, C#, VBA, Data Warehousi...