Newly established investment firm Augmentum Fintech is looking to launch an IPO on the London Stock Exchange.
The firm will issue a target of 100 million ordinary shares at a price of £1, and a maximum issuance of 125 million shares. Augmentum is applying for admission on the Official List of the United Kingdom Listing Authority and on the Main Market of the LSE.
Of the shares, £2.7m will be invested by the firm’s management team, and £10m will be supplied by RIT Capital Partners.
UK-based Augmentum is focused on investing in FinTechs across the UK and Europe. The firm is looking to invest in early stage and later stage companies; however, it is not backing seed rounds due to them being too risky, according to the company.
Key areas of focus for the firm include technologies in banking, insurance and asset management, but it will also support other cross-industry opportunities. Investments made by the company will be between £5m and £10m for a minority stake in the company, participation on the board and the ability to make follow-on funding.
Upon admission of listing its shares, Augmentum will acquire an initial portfolio of five FinTech companies, with an average valuation of £33.3m. Companies in the portfolio include Zopa, Seedrs, Interactive Investor, BullionVault and SRL Global.
Augmentum Capital co-founder and principal Tim Levene said, “Europe offers a large addressable and attractive FinTech investment opportunity where we are blessed with a deep pool of talent and the Company is well positioned to capitalise on some of the most compelling opportunities available in the market.
“The management team is well-networked and involved in some of Europe’s most innovative fintech businesses. Our significant entrepreneurial, operational and investment experience as well as our established track record offers investors targeted exposure to a sector that is difficult to gain access to.”
Augmentum has an independent non-executive board of directors, and will name Frostrow Capital as its alternative investment fund manager.
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