Outlook dim for Anglian share offer

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The Independent Online
ADVISERS to Anglian Group, the double-glazing company, are bracing themselves for another new-issue flop when the pounds 88.4m share offer closes today, writes Heather Connon.

Final subscription levels will not be known until the offer closes at 10am, but Richard Davey of NM Rothschild, sponsor of the issue, said he did not expect it to be over-subscribed. Half of the shares have already been placed with institutions, and the remainder have been fully underwritten.

Poor demand for new issues and the falling stock market have forced Anglian to come down from a guide price of 250p to 210p between the issue of the pathfinder and the full prospectus.

MFI also had to scale back its offer price to 115p, compared with estimates of up to 150p, while 77 per cent of the public offer for The Telegraph's shares were left with the underwriters.

Lack of institutional interest in new issues has increased concern about the pounds 3bn sale of Wellcome shares by the Wellcome Trust. The international tender offer closes on 24 July.

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