Itim Group plc has announced its intention to float on London’s AIM market, capitalising on structural shifts in the retail sector as coronavirus restrictions ease.
The retail software as a service (SaaS) company is seeking to raise between £10 million and £12 million in an IPO. WH Ireland will act as sole broker and the company’s nominated adviser as it goes public.
Justin King, the former CEO of Sainsbury’s, will join the Itim board as a Non-Executive Director. Sage former chairman Michael Jackson will join as chairman.
Itim, which has grown it annual recurring revenue by 55% since January 2018, provides retail software to more than sixty brands in the UK and worldwide. It claims to enable bricks and mortar retailers to complete with online-only rivals by providing a combination of online and offline services. This includes home delivery and in-store ‘click-and-collect’ services as well as in-store returns for online purchases.
The company believes consumers desire an in-store experience post-Covid and has timed its IPO to take advantage of growing consumer confidence as coronavirus restrictions ease.
UK retail sales were up 23.7 per cent last month compared to May 2019, according to the latest figures from the British Retail Consortium (BRC).
Chief Executive of Itim Group Ali Athar said: “Our firm belief is that if bricks and mortar retailers are to compete in a post-Covid world, they will need to operate a best-in-class omni-channel service.”
“It is the only way they will be able to withstand the domination of pure online retailers and regain market share through using their store estates to their competitive advantage and improving profitability.”
Itim’s admission to London’s AIM market is expected to take place at the end of June.