WINDOWS and doors company Safestyle UK yesterday said it is planning a £77m flotation on Aim next month.
The firm – which manufactures, sells and installs doors and windows – is expected to launch its public offering on 11 December via a £70m share placement, giving it an initial market capitalisation of £77m.
Safestyle, founded in 1992 and known for its brash TV adverts offering buy-one-get-one-free windows, posted revenues of £110.2m and pre-tax profit of £9.5m last year.
“Trading in the current year has progressed well, in line with our expectations,” said chief executive Steve Birmingham.
“We believe that given the fundamentals of the business and the structural and geographic market opportunities, an initial public offering is the right strategy to support our continued development.
“This marks a major milestone for Safestyle which we believe will increase the profile of our business, provide further credibility to our leading offering and enable us to put in place share incentive plans for staff whose dedication and hard work has contributed significantly to the success of our company.”
Safestyle claims it is the largest company in the UK homeowner window and door replacement market, with a market share of 7.5 per cent in 2012.
It manufactured 232,000 frames last year and carried out in excess of 50,000 installations.
Zeus Capital is acting as nominated adviser and sole broker on the transaction.
KPMG is supporting the deal with corporate finance, transaction services and tax advice. DLA Piper is providing legal counsel.
Safestyle has 10 installation depots and 29 sales offices throughout the country.