City Pub Company says cheers to AIM listing as sales rise by a third
Quaint pub group City Pub Company has announced its intention to float on the London Stock Exchange's junior market late next year, while revenues at the firm have risen by a third.
Sales at City Pub Company rose by 36 per cent to £12.1m in the first half of the year, up from £8.9m in the same period of 2015.
Earnings before interest, tax, depreciation and amortisation were up 30 per cent to £1.6m.
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The group, which is comprised of two companies (City Pub Company East and City Pub Company West), has 28 pubs in its portfolio and is angling to grow to 35 sites in the next 12 months.
In the longer term, it is angling to open 50 pubs.
Most of the pubs the southern-focused firm have opened this year have been located in London, Cambridge and Bristol.
Why it's interesting
Subject to market conditions, the company has said it is angling to merge its East and West brands and seek a listing to the AIM next October.
It is also intending to raise a further £10m to £15m from shareholders around that time and to launch its maiden dividend next April when it announces its full-year 2016 results.
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City Pub Company said the financial benefit of recent acquisitions and refurbishments to some of its pubs will be "strongly felt" in its 2017 financial performance.
What City Pub Company said
In a statement, the group said:
It has been another exciting, enjoyable and successful period for our two companies. We look forward to the challenges of continuing to build and expand the companies.
The recent acquisitions, our increased focus on better systems and purchasing and our improved bank facilities give us a real opportunity to continue our growth and to seek a successful listing onto AIM when we get to the end of the EIS qualifying period.