Following reports last month that it was preparing to float on AIM, the London Stock Exchange’s international market for smaller growing companies, Isle of Man-based Manx Telecom has confirmed such plans. According to the Financial Times, the company expects to raise GBP156.3 million (USD258 million) via a floatation on AIM on 10 February, with Manx Telecom’s majority owners HgCapital and CPS Partners having reportedly agreed to divest the entirety of their respective holdings. Proceeds from the initial public offering (IPO) and a new facility are expected to be used to pay off GBP57 million of Manx Telecom’s outstanding loans, which total GBP122 million, while also helping fund its expansion plans.
Following the listing Manx Telecom has said it plans to maintain its core business of fixed line, broadband and data services, which reportedly accounted for around 40% of turnover in the first half of 2013, as well as mobile services, which represented 25% of revenues. Commenting on the future of the company, Manx Telecom CEO Mike Dee was cited as saying: ‘The business is well-placed to take advantage of further on-island growth opportunities due principally to demand for 4G, faster broadband and data hosting services.’