AIM suffers fundraising freeze

The Alternative Investment Market (AIM) endured the toughest fundraising climate in its history in 2008, with just 40 new issues raising money.


The Alternative Investment Market (AIM) endured the toughest fundraising climate in its history in 2008, with just 40 new issues raising money.

The Alternative Investment Market (AIM) endured the toughest fundraising climate in its history in 2008, with just 40 new issues raising money.

Some 70 companies joined the market last year, a fall of 69 per cent from the 222 initial public offerings (IPOs) in 2007. Of these, less than two-thirds raised money as part of their IPO, according to research from Growth Company Investor, a sister title of GrowthBusiness.co.uk.

On average, AIM IPOs last year were able to raise £12.9 million each, less than half 2007’s average of £28.1 million.

Two of the new entrants, both investment companies, raised more than £100 million of new cash. Of these, one has already been wound up.

Despite the overall lack of activity, there was a distinct difference between the first and second halves of the year. In the first six months £802 million was raised in IPOs and in the second £101 million, three-quarters of which was in July.

To order a copy of the full report, New Issues on AIM 2009, call Calvin Green on 020 7250 7056 or email.

Marc Barber

Raven Connelly

Marc was editor of GrowthBusiness from 2006 to 2010. He specialised in writing about entrepreneurs, private equity and venture capital, mid-market M&A, small caps and high-growth businesses.

Related Topics

Venture capital funding