A UK-wide network of cake shops achieved a £170million valuation today as the owner the owner of Patisserie Valerie made its debut on the London Stock Exchange’s alternative investment market (AIM).
Shares in Patisserie Holdings, which also includes the brands Druckers and Philpotts, came in priced at the low end of expectations at 170p, compared with previous guidance for between 170p and 200p.
The company, which is listed under the ticker CAKE, was majority owned by entrepreneur and former Pizza Express chairman Luke Johnson.
He reduced his stake 70% stake in the company to 42.7% through the stock market listing.
The company, which has grown to 138 shops from eight at the time of Mr Johnson’s takeover in 2006, has raised £33million from the shares placing to pay down debt. The move will raise £46.5 million for selling shareholders.