The most popular entry on the London stock market in 2017 is non other than Alfa Financial Software. (LON:ALFA). The executive chairman as well as the chief executive, Andrew Page and Andrew Denton, will yield a massive pay out of £230 million and £24 million respectively from the flotation. This flotation is the biggest in the British technology sector since Sophos listings of 2015. It will usher in an improvement to the British IPO market amidst fears about Brexit.
Alfa Financial Software produces and provides software utilized by firms to manage loans especially for motor financing in the UK and US markets. Mr Andrew Page is the executive chairman and also the co-founder of this software supplier.
The shares kicked off trading priced at 325p a piece in the IPO, bringing the company’s value to £975 million. Mr Denton’s hope is that the successful IPO of Alfa Financial Software, due to their stable returns , will help them in keeping up the momentum of the business by winning more customers.
In order to retain control of the company founded in 1990, the two executives sold 26 % which is right above the 25 % threshold requirement for premium listings. This means they are locked in to their stock thus cannot sell anymore for a year. This morning the shares escalated to 31 % extending the company’s value to £1.2 billion.
A high demand of the shares is evident that a third of the investors passed up the float. The words of Mr Page were full appreciation for the level of support offered by the diverse blue-chip investors.