EMIS shares start trading
- 29 March 2010
Healthcare IT company EMIS began trading its share on the Alternative Investment Market today.
The company, which provides software to 52% of UK GPs, said last week that it expects to raise £50m from the listing of its shares, which will value the company at £175m.
The company said shares would be priced at 300p and the share placing was two times oversubscribed.
The company is raising £25m to pay off a £23m loan from its founder shareholders while existing shareholders selling some of their shares will make £25m.
The directors and senior management team of EMIS will own 52.9% of the company while the founder shareholders will hold an 18.5% stake.
Sean Riddell, chief executive, said: ““We are delighted with the positive response we have received from institutions to the placing and that investors share our enthusiasm for the growth potential of the Group.
"EMIS’ admission to AIM marks the beginning of a transformational new phase in the company’s development and provides us with a platform from which to build on our leading market position.
"We look forward to reporting on progress and delivering value to shareholders.”
EMIS generated operating profit of £15.8m on turnover of £58m in 2009 said it had decided to float on AIM to enable it to take advantage of growth opportunities, broaden its shareholder base and incentivise management.