Applied Nutrition’s IPO raises £157.5m, offering a boost to the LSE.
- The IPO price was set at 140p per share, near the lower range.
- 112.5 million shares sold from existing investors, including JD Sports.
- The IPO marked a partial relief amid London’s declining IPO trend.
- Key executive appointments were made prior to the IPO.
The recent Initial Public Offering by Applied Nutrition, a Liverpool-based sports health brand, successfully raised £157.5 million, providing a much-needed boost to the London Stock Exchange. This strategic move, supported by JD Sports, saw shares priced at 140p each, near the lower limit of the projected range. Despite this, the firm achieved a valuation at the IPO of approximately £350 million.
Applied Nutrition’s shares, totalling 112.5 million, were offered by existing investors, including JD Sports executives. This sale also secured the participation of Asda co-owner Mohsin Issa as a cornerstone investor. The offering comes at a time when the LSE is facing challenges in attracting new IPOs, with the nutrition brand’s listing being only the tenth this year.
The debut was seen as a welcome development for the exchange, which has seen a downturn with only 23 IPOs in the previous year, marking the poorest listing year in decades. Thomas Ryder, the CEO of Applied Nutrition, highlighted the significance of the IPO, emphasising their growth prospects and the pride in being a homegrown UK business listed on the LSE.
In preparation for the IPO, Applied Nutrition undertook significant leadership appointments. Tony Buffin, former leader at Holland & Barrett, joined as a non-executive board member, while AJ Bell founder Andy Bell became the non-executive chair. Additionally, JD Sports’ prior acquisition of a 32% stake in the company in 2021 set the stage for these developments.
This IPO not only highlights Applied Nutrition’s ambitions but also provides a positive signal for other potential listings on the LSE.
