Wednesday 12 February 2020 11:55 am

DRI Healthcare plans $350m London listing

Healthcare royalty investment company DRI Healthcare said today it was planning to raise up to $350m (£269m) in a proposed London initial public offering (IPO).

The company said it was looking to list on the main market of the London Stock Exchange next month.

Read more: Smart meter firm Calisen confirms £1.5bn float plans

It said it would use the proceeds from the float to fund acquisitions.

The company is managed by Toronto-based investment manager DRI Capital.

Healthcare royalties are payments made to a patented company or research firm developing a drug in exchange for the right to use it.

“DRI Capital focuses on sustainable royalties on proven and speciality medicines that benefit from strong intellectual property and regulatory protection,” DRI Capital chief executive Behzad Khosrowshahi said.

Read more: The number of floats in London dropped to a decade-low last year

“With global healthcare spending expected to reach $1.5 trillion by 2023, we continue to see compelling growth opportunities in the pharmaceuticals sector and associated increases in sales, development and the approval of new drugs.”

Numis is acting as sponsor and joint bookrunner and Jefferies International is acting as global coordinator and joint bookrunner.

Smart meter business Calisen raised more than £320m in its London listing last week.

The float was the first of the year and followed a tough 2019 where the London market was its quietest for a decade.

Just 35 companies floated raising £5.9bn, down from 79 listings raising £9.5bn in 2018.