Fever-Tree IPO: Float priced tonight

Bankers to the drinks mixers group Fever-Tree expect to price its stock market flotation tonight, confounding a poor market for  new issues.

 

Floating on London’s Aim, the listing will see 50 per cent of the drinks group bought by outside investors. The company is looking to raise just £4m of new money from the listing. 

 

In March last year, LDC – the buyout division of Lloyd’s Banking Group – bought a 25 per cent stake in Fever-Tree.

 

Investec is acting as the sole adviser on the deal.

 

Founded in 2005 by Tim Warrillow and Charles Rolls, Fever-Tree was initially founded to provide an upmarket tonic water to tap into the artisan gin revival. 

 

The company has since launched nine other soft drinks and has expanded into the American and Spanish markets, with 70 per cent of its profits now coming from exports.  

 

The float goes ahead despite others recently being pulled, such as Aldermore and Virgin Money.     

 

Update: This article has been updated to clarify that Fever-Tree was founded by Tim Warrillow and Charles Rolls