Manolete Partners, which focuses on taking over claims from liquidators of insolvent companies, has confirmed its intention to float on the London Stock Exchange following earlier speculation.
In a statement on Friday, Manolete said it would list on the junior AIM market on 14 December.
Founded in 2009, Manolete acquires and funds insolvency and insolvency-related claims. It has conditionally raised £16.3m from an institutional placing of 9,285,714 new ordinary shares and a further £13.1m has been realised by the selling shareholders by an institutional placing of 7,480,316 existing ordinary shares at 175p per share. This gives the company a market capitalisation of £76.3m. Upon admission 27.4% of the company’s ordinary shares will be publicly held.
After Burford, Manolete, backed by private equity investor Jon Moulton, is only the second company operating in the litigation funding sector to go public. Vannin Capital previously announced its intention to float but pulled the plug on its plans last month amid market uncertainty.
Four law firms have so far listed in their own right, the latest being City firm Rosenblatt.
Chief executive Steven Cooklin, said that when it started Manolete was a pioneer in the then ‘nascent market’ for financing insolvency litigation claims in the UK.
‘Since then we have built on this first mover advantage, becoming a major player in the insolvency litigation financing market,’ Cooklin said. He added: ‘There is now a real opportunity to rapidly build on our achievements and I’m confident that our IPO will act as the catalyst for accelerated growth. We are greatly looking forward to life as a listed business and delivering on our plans.’
Peel Hunt LLP is acting as the nominated adviser and sole broker.
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