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Former two-man operation on stock market
10:33am Tuesday 15th October 2013 in Business
A COMPANY established ten years ago as a two-man operation at Durham University will make its stock market debut tomorrow.
Kromek, based at NetPark, near Sedgefield, County Durham, has successfully raised £15m in the fundraising, which was oversubscribed by about £3m.
The initial public offering (IPO), which will see the firm join the Alternative Investment Market (Aim), was supported by investors, including Cazenove and the National Farmers’ Union.
Durham University will hold a stake worth about £3m.
Kromek will use the money injection to help it win international business in the medical imaging, security screening and nuclear detection sectors.
The firm is best known for pioneering an airport scanner that can identify liquids in bottles, including explosives, alcohol and narcotics, without opening them, in less than 20 seconds. The technology is used by five airports, including Durham Tees Valley, near Darlington.
Freddy Crossley, of Panmure Gordon, the company’s nominated advisor and broker, said: “Kromek is a great example of how Aim can support the growth of UK technology companies.
The IPO has underpinned the future development of this university spin-out by providing funds from high-quality institutional investors in an oversubscribed placing of shares as Kromek enters its commercialisation phase.
“Kromek’s technology has an enabling role in the medical imaging, security screening and nuclear detection markets. It is important to support advancing technology in these key areas.”
The share price will open at 51p.
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