Applied Nutrition confirms London IPO later this month

Applied Nutrition confirmed on Monday that it plans to float on the London Stock Exchange this month.

The Liverpool-based sports health firm, which announced last month that it was potentially planning an IPO, said the offer will comprise existing shares to be sold by certain existing shareholders of the company.

It will be a targeted offering to institutional investors in the UK and elsewhere outside the US. The offer will also be made to retail investors in the UK.

The company, which is backed by JD Sports, is targeting a free float of at least 25% of issued share capital.

Deutsche Numis is acting as sole sponsor, sole global co-ordinator and sole bookrunner.

Susannah Streeter, head of money and markets at Hargreaves Lansdown, said: "Applied Nutrition’s upcoming IPO will provide another vitamin boost to the London’s Stock Exchange and shows growing appetite among firms to list.

"The IPO will enable the company to raise funds for a fresh phase in its global expansion. Already, the global wellness industry is worth $5.6 trillion and is set for annualised growth of almost 8% over the next few years. Once reserved for bodybuilding fanatics, protein shakes, bars and vitamin boosts are becoming mainstream daily fixes for millions. While there are clearly big opportunities ahead, the competition is fierce with some of the biggest global brands in drinks and snacks developing ranges targeting health-conscious consumers.

"The IPO will include a retail offering, giving ordinary investors a chance to buy a slice of the business. This is a hugely welcome move, given that far too often retail investors are cut out of IPOs and secondary capital raising rounds. This is a missed opportunity as UK investors are enthusiastic holders of UK equities. Hargreaves Lansdown looks after £58.5bn invested directly into shares on our platform, with around 75% of trades taking place on the London markets.

"So, when they are invited to participate in IPOs, they jump at the chance. HL was significantly oversubscribed for the Raspberry Pi IPO, which only allocated €8million to retail investors. With further regulatory changes planned to the listing regime, it’s vital that retail access to IPOs and secondary capital raising rounds are at the heart of changes."