Prime Focus soars 20% as arm applies to UK FCA for IPO

The offer would comprise of new shares to be issued by the company (raising gross proceeds of £150mn) and an offer of existing shares to be sold by certain existing Shareholders.

Oct 15, 2019 08:10 IST India Infoline News Service

Prime Focus
Prime Focus a subsidiary, DNEG Limited (the “DNEG”), has announced its intention to publish a registration document that has been submitted for approval to the United Kingdom Financial Conduct Authority (FCA), and is considering proceeding with an initial public offering (“IPO”) of its ordinary shares.

Pending a decision to proceed with its intention to IPO, DNEG would apply for admission of its ordinary shares to the premium listing segment of the Official List of the FCA and trading on the London Stock Exchange’s main market for listed securities, Prime Focus said in an exchange filing.

The offer would comprise of new shares to be issued by the company (raising gross proceeds of £150mn) and an offer of existing shares to be sold by certain existing Shareholders. The company intends to use the net proceeds from the issue of the new Shares to finance further growth plans and reduce net debt.

The company expects that it would be eligible for inclusion in the FTSE UK indices post admission. The Group believes that the offer would further support the Group’s growth plans by increasing its public profile and brand awareness as well as giving the Group access to a wider range of capital-raising options, the company said in the filing.

Prime Focus Ltd is currently trading at Rs49.35, up by Rs8.2 or 19.93% from its previous closing of Rs41.15 on the BSE.

The scrip opened at Rs42.10 and has touched a high and low of Rs49.35 and Rs42.10 respectively.  

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