Politics

The Hut Group leads IPO resurgence with 500p per share valuation confirmed

The Hut Group Limited confirmed the offer price for its initial public offering (IPO) was set at 500 per share, valuing the health and beauty group at £5.4bn.

It is a market capitalisation higher than FTSE 100 constituents Rightmove and Morrisons, valued at £5.3bn and £4.5bn respectively, and online shopping giant ASOS, worth £4.6bn on Thursday.

READ: The Hut Group confirms plans for £4.5bn IPO – London's biggest this year

The IPO will offer 374mln shares for £1.8bn, representing 35% of the holding.

It would be one of the largest floats London has seen in the past few years and perhaps a beacon of hope in the dearth of new listings seen during the coronavirus crisis.

Hut Group will be biggest London IPO of 2020 at £4.5bn
Here's how it compares
2019: Airtel Africa £3.1bn
2018: Aston Martin £4.3bn
2017: Allied Irish Banks €12bn
2016: Convatec £4.4bn
2015: Worldpay £4.8bn

— Jonathan Eley (@JonathanEley) September 4, 2020

But The Hut Group is not alone: after an unusually quiet six months, another four companies have rushed to announce their floating plans in the space of a week – with some pretty big names on the cards.

Guild eSports, the esports team co-owned by David Beckham, wants to raise £20mln via an IPO expected to value the whole company at £50mln, so it can recruit professional video gamers to play in Fortnite, CS:Go, Rocket League and FIFA.

Meanwhile, Bitcoin banking app Mode Global Holdings PLC, set up by entrepreneur Jonathan Rowland, is looking to join the maRead More – Source