CMC Markets dips in London debut
LONDON (Reuters) - Shares in British financial spreadbetting company CMC Markets slipped below the firm's 240 pence flotation price on Friday after the firm listed on the London stock market with a valuation of 691 million pounds.
With stock markets under pressure in recent weeks, the pricing came in at the lower end of the original range of 235-275 pence a share.
The shares dipped to 237.5 pence by 0830 GMT, reversing initial gains to 245p.
CMC was founded in 1989 by Chief Executive Peter Cruddas and operates in 14 countries, and reported a net operating income of 78.9 million pounds for the six months ending 30 Sept. 2015.
"Our performance since the start of 2016 continues to be strong, helped by the ongoing market volatility, and we start our life as a public company well-positioned for continued growth," said Cruddas.
After listing, Peter and his wife Fiona Cruddas will hold 62.5 percent of the firm's ordinary shares, and Goldman Sachs Strategic Investments will hold five percent, CMC said.
The offering of 31 percent, or 90.6 million shares, totals around 218 million pounds.
The deal includes a primary capital raise of around 15 million pounds, and a 203 million pound sale of secondary shares by some of CMC's existing shareholders, including Peter and Fiona Cruddas and Goldman Sachs Strategic Investments.
Goldman Sachs, Morgan Stanley and RBC were joint bookrunners.
(Reporting by Carolyn Cohn; Editing by Sinead Cruise and Keith Weir)
