Thursday 6 May 2021 8:56 am

Semiconductor firm Alphawave prices London IPO at up to £3.2bn

Canadian firm Alphawave has set a price range for its planned London float putting it on track for a valuation of up to £3.2bn.

The company is just four years old and develops technology that pushes data through data centres and phone networks.

It indicated plans to list in the capital last month and now plans to raise proceeds of up to £810m, Bloomberg reported. It is looking to sell £360m in news shares and £450m of existing stock, aiming for a minimum free float of 25 per cent.

As part of its announcement last month it announced it will move its headquarters to the UK, which will no doubt be welcomed by the Government.

London’s IPO market has had a strong start to the year but the collapse in Deliveroo’s value on admission has cast doubt on how well London can host tech firms. It comes after Boris Johnson has made a concerted effort to meet with tech leaders in a bid in a bid to bolster the City post-Brexit.

Alphawave will be the first semiconductor firm to float in London since Kromek Group’s float in 2013. The City has previously had a strong chip sector but companies like Arm Holdings have since been sold.

“I am excited to confirm our intention to list on the LSE. This is a new chapter for us, but also a continuation of a multi-decade journey for me and the founding team, who have been passionate about solving connectivity problems throughout our careers,” president and chief executive Tony Pialis said last week.

“The listing will help us extend our leadership by accelerating and expanding our new and innovative portfolio of products, as well as expand our base in Canada into the UK, where we will continue to grow our business and partnerships globally.”