Just Eat float to help LSE deliver best start to year since 2007

 

The London Stock Exchange is on course for a bumper year with £2.1bn already raised in market flotations, it emerged yesterday – the strongest start to a year since the onset of the credit crunch in 2007. 

The market has been boosted by a series of retail listings since the start of 2013 with Poundland, Boohoo.com, Pets at Home, McColl’s and AO World going public.

More companies are expected to follow, with the online takeaway food service Just Eat revealing yesterday that it plans to raise £100m of fresh capital when it joins the stock market through a flotation which analysts said could value it between £700m and £900m.

Brit Insurance is also expected to list in London next month and is believed to be considering a price range of between 230p and  275p a share, valuing it at around £1bn.

The most ever raised by initial public offerings in one full calendar year is £28.83bn, in 2006.

Alastair Walmsley, the head of primary markets at the LSE, said: “The surge in retail IPO activity over the last few months can be attributed in part to a reawakening of investor appetite for equity; 2014 looks set to be a strong year for London’s equity market, with a healthy number of UK and international companies seeing the opportunity offered by our markets as a platform for their future growth.”

Just Eat, which handled  40 million meal orders last year, could be valued at more than 50 times its core earnings of £14.1m.

The company could also become the first initial public offering to take advantage of the new “High Growth” segment of the London Stock Exchange, which has been supported by Government as a way to keep new hi-tech companies in this country by allowing them to sell fewer shares to get a listing.

Its chief executive David Buttress, 38, said: “We qualify for both a premium listing or a High Growth one. We will decide nearer the time.”

Just Eat expects to issue a prospectus next month. Mr Buttress would not give details but he and finance director Michael Wroe will become paper millionaires through the float. Private equity backers SM Trust, Index Ventures, Vitruvian Partners, Redpoint Ventures and Greylock Partners will all cash in some shares but also retain stakes.

Start your day with The Independent, sign up for daily news emails
PROMOTED VIDEO
ebooks
ebooksA special investigation by Andy McSmith
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Recruitment Genius: Software Development Manager

£40000 - £50000 per annum: Recruitment Genius: This is an exciting opportunity...

Ashdown Group: Product Manager - (Product Marketing, Financial Services)

£30000 - £35000 per annum + Benefits: Ashdown Group: Marketing Manager - Marke...

Recruitment Genius: Compliance Assistant

£13000 per annum: Recruitment Genius: This Pension Specialist was established ...

Ashdown Group: Market Research Executive

£23000 - £26000 per annum + Benefits: Ashdown Group: Market Research Executive...

Day In a Page

As in 1942, Germany must show restraint over Greece

As in 1942, Germany must show restraint over Greece

Mussolini tried to warn his ally of the danger of bringing the country to its knees. So should we, says Patrick Cockburn
Britain's widening poverty gap should be causing outrage at the start of the election campaign

The short stroll that should be our walk of shame

Courting the global elite has failed to benefit Britain, as the vast disparity in wealth on display in the capital shows
Homeless Veterans appeal: The rise of the working poor: when having a job cannot prevent poverty

Homeless Veterans appeal

The rise of the working poor: when having a job cannot prevent poverty
Prince Charles the saviour of the nation? A new book highlights concerns about how political he will be when he eventually becomes king

Prince Charles the saviour of the nation?

A new book highlights concerns about how political he will be when he eventually becomes king
How books can defeat Isis: Patrick Cockburn was able to update his agenda-setting 'The Rise of Islamic State' while under attack in Baghdad

How books can defeat Isis

Patrick Cockburn was able to update his agenda-setting 'The Rise of Islamic State' while under attack in Baghdad
Judith Hackitt: The myths of elf 'n' safety

Judith Hackitt: The myths of elf 'n' safety

She may be in charge of minimising our risks of injury, but the chair of the Health and Safety Executive still wants children to be able to hurt themselves
The open loathing between Barack Obama and Benjamin Netanyahu just got worse

The open loathing between Obama and Netanyahu just got worse

The Israeli PM's relationship with the Obama has always been chilly, but going over the President's head on Iran will do him no favours, says Rupert Cornwell
French chefs get 'le huff' as nation slips down global cuisine rankings

French chefs get 'le huff' as nation slips down global cuisine rankings

Fury at British best restaurants survey sees French magazine produce a rival list
Star choreographer Matthew Bourne gives young carers a chance to perform at Sadler's Wells

Young carers to make dance debut

What happened when superstar choreographer Matthew Bourne encouraged 27 teenage carers to think about themselves for once?
Design Council's 70th anniversary: Four of the most intriguing prototypes from Ones to Watch

Design Council's 70th anniversary

Four of the most intriguing prototypes from Ones to Watch
Dame Harriet Walter: The actress on learning what it is to age, plastic surgery, and her unease at being honoured by the establishment

Dame Harriet Walter interview

The actress on learning what it is to age, plastic surgery, and her unease at being honoured by the establishment
Art should not be a slave to the ideas driving it

Art should not be a slave to the ideas driving it

Critics of Tom Stoppard's new play seem to agree that cerebral can never trump character, says DJ Taylor
Bill Granger recipes: Our chef's winter salads will make you feel energised through February

Bill Granger's winter salads

Salads aren't just a bit on the side, says our chef - their crunch, colour and natural goodness are perfect for a midwinter pick-me-up
England vs Wales: Cool head George Ford ready to put out dragon fire

George Ford: Cool head ready to put out dragon fire

No 10’s calmness under pressure will be key for England in Cardiff
Michael Calvin: Time for Old Firm to put aside bigotry and forge new links

Michael Calvin's Last Word

Time for Old Firm to put aside bigotry and forge new links