Leading English wines producer Chapel Down raises significant funding on ISDX
08 July 2013
London, 8 July, 2013 – ICAP Securities & Derivatives Exchange (ISDX) announces that ISDX quoted company Chapel Down, the market leader in English wines, has raised £4.35m through an institutional placing. The fundraising will allow Chapel Down to scale up production at its vineyards in Tenterden, Kent, to increase sales of its award winning wines and to drive the growth of its Curious Brew range of beers.
The shares were placed by ISDX brokers finnCap at 17p, a premium to the share price at the time of issue. The placing was substantially oversubscribed and brought blue chip institutional investors onto the share register.
To read Chapel Down’s announcement click here.
ICAP launched ISDX in October 2012. Since then its focus has been on building a market place that serves the needs of small and medium sized entrepreneurial businesses such as Chapel Down, and providing exciting growth opportunities for investors. Chapel Down has been growing strongly on ISDX with revenue this year up 29% to £4.8 million and gross profit up 21% to £1.9 million.
ISDX has also today launched new admissions criteria which make enhanced regulatory provision so companies seeking admission to the ISDX Growth Market can demonstrate greater suitability for being traded on a public market and are ready for investment.
By implementing these clear standards, ISDX seeks to generate investor confidence in a company’s ability to deliver shareholder returns and encourage liquidity. This is the first move in a long term strategy by ISDX to encourage investment back into the UK’s growth businesses to help close the equity gap that exists at this level.
In another important development for the ISDX Growth Market, on 1 July the Treasury announced that shares admitted to trading on growth markets are to become qualifying investments for ISA’s. Legislation will be introduced later this month with this welcome change expected to take effect shortly after. This is excellent news for ISDX growth companies and for those that invest in them.
Seth Johnson, CEO of ISDX said: “I am extremely pleased that Frazer and his team have managed to secure this funding, enabling Chapel Down to press on with the next stage of what is already a very interesting growth story. Chapel Down is a blueprint for our market place, having built a strong brand with the best entrepreneurial spirit. It is an SME that is playing its part in reinvigorating the UK economy and generating good, long term returns for its investors. The involvement of institutional investors in this fundraise and the appeal of Chapel Down to a retail audience is the perfect mix, providing the foundation and the liquidity for growth.”
Geoff Nash of finnCap said:“We were delighted to work with Chapel Down on this successful fundraise and look forward to helping the business through the next stages of its continued development. ISDX has an important part to play in providing a market place for small and medium sized companies seeking funding at this level, and we look forward to working with more good quality, entrepreneurial businesses.”
|Kate Bennett ||ISDX ||+44 (0)20 7029 9068 |
|Serra Balls ||ICAP ||+44 (0)20 7050 7124 |
|Rebecca Mitchell ||Maitland ||+44 (0)20 7379 5151 |
Note to Editors
Please find below a link to a video interview with Chapel Down CEO Frazer Thompson.
ICAP Securities & Derivatives Exchange (“ISDX”) is a London-based market providing UK and international companies with access to capital through its fully listed and growth markets. The ISDX Growth Market is its platform for small and medium sized companies.
ISDX is a Recognised Investment Exchange (RIE) under the Financial Services & Markets Act 2000, a Recognised Stock Exchange under the Income Tax Act 2007 and a member of the ICAP Group.
For more information, go to www.isdx.com
ICAP is a leading markets operator and provider of post trade risk mitigation and information services. The Group matches buyers and sellers in the wholesale markets in interest rates, credit, commodities, FX, emerging markets and equity derivatives through voice and electronic networks. Through its post trade risk mitigation and information services ICAP helps customers manage and mitigate risks in their portfolios. For more information, go to www.icap.com