Medical device company Belluscura Limited, part-owned by Tekcapital PLC (LON:TEK), has announced its intention to float on the London Stock Exchange’s junior market AIM.
Belluscura is seeking to raise £7.5mln to £10mln in the placing and expects to begin trading in December.
Belluscura to restructure board
The initial public offering (IPO) comes as Belluscura entered into a conditional agreement to buy the licenses to manufacture and sell STIC, a hand-held pressure monitor for the measurement of compartment pressure, from medical technology company Stryker Corporation. STIC generated average annual sales of about US$4mln between 2011 and 2016.
Belluscura had previously bought licenses to manufacture and sell four medical device product lines from Stryker.
Tekcapital, which owns 47.5% of Belluscura, said it was “delighted” by the announcement of the initial public offering. Its holding had a carrying value in its unaudited balance sheet of US$3.6mln as at 31 May 2017.
“Although Tekcapital's stake in Belluscura will be diluted by the Belluscura IPO, Tekcapital anticipates the value of its stake may increase as a result,” the technology and intellectual property investment service provider said.
Tekcapital said Belluscura is to restructure its board of directors as part of the IPO. Harry Hyman will become Belluscura's non-executive chairman and Anthony Francis Martin will be non-executive director.
Robert Rauker will remain chief executive and Michael Van Hoy will continue as chief technical officer, joined by Anthony Dyer as chief financial officer.