Footasylum IPO values firm at £171m

Footasylum CEO Clare Nesbitt

Lancashire-based youth footwear and apparel retailer Footasylum said its initial public offering (IPO) at £1.64 per share raised gross proceeds of £65.4 million.

Footasylum’s brands include Kings Will Dream and Glorious Gangsta.

“Based on the placing price, the market capitalisation of the company on the admission to trading of the ordinary shares on AIM will be £171.3 million,” said Heywood-based Footasylum.

“The company has conditionally raised £43.4 million (before expenses) pursuant to the placing and the subscription.

“Approximately £18.7 million will be used to redeem the preference shares in accordance with the redemption agreement and approximately £3.9 million will be used to repay a director’s loan made to the company by the chairman, John Wardle ..

“On admission, the Makin family will be interested in approximately 63 per cent of the issued share capital of the company.

“On admission, the company will have 104,474,390 ordinary shares in issue and a free float of approximately 37 per cent.”

The Makin family includes founder David Makin and his daughter, current chief executive Claire Nesbitt.

Footasylum was founded in 2005 by David Makin, one of the two co-founders of JD Sports Plc.

He was later joined by John Wardle, the other co-founder of JD Sports, who was CEO of Footasylum from 2008 until 2015 when he moved to the role of executive chairman.

Wardle was succeeded as CEO by Nesbitt, who joined the company in 2009 and was deputy CEO from 2012 to 2015.

Nesbitt said: “Today marks the beginning of an exciting new chapter in the Footasylum story.

“We are delighted that our product-led, multi-channel expansion strategy has resonated so strongly with investors, and are thrilled to have received such a strong level of demand for the placing.

“We welcome our new shareholders and look forward to delivering the significant potential that we see for Footasylum as a quoted business.”