Peel Hunt shares rise as agency rakes in additional income than anticipated
- Shares in London-listed Peel Hunt have risen by over 28% in the last year
Peel Hunt shares rose today after the investment bank revealed it was raking in more revenue than anticipated.
In an update ahead of its annual general meeting today, the group said it had seen ‘some improvement in the macroeconomic backdrop’ in recent months.
It said it had seen ‘tentative signs of a pick up in equity capital markets activity.’
Revenue boost: Peel Hunt shares rose on Thursday after the group revealed it was raking in more revenue than anticipated.
The group said: ‘During the period, we have advised clients in relation to a number of ECM transactions, including acting as global co-ordinator on two IPOs executed on the London market, and we are encouraged by an increase in activity in both our Execution Services and institutional trading businesses.
‘Consequently, revenues for Q1 FY25 are ahead of the equivalent prior year period and in line with market expectations.’
Peel Hunt was the global co-ordinator for computer firm Raspberry Pi’s initial public offering (IPO) last month, which raised £172.9million.
The London-listed firm’s shares rose 2.87 per cent or 3.7p to 132.70p on Thursday, having risen over 28 per cent in the last year.
IPO activity is growing after bottoming out in the fourth quarter of last year.
In total, eight business floated on the London Stock Exchange between January and the end of June, raising £513.8million.
Online fashion giant Shein has also reportedly filed papers for a London listing, which could end up being Britain’s biggest ever stock market float.
Last month, Peel Hunt unveiled an annual loss of £3.3million, amid higher costs and a dearth of listings.
Twelve months earlier, the investment bank’s loss stood at £1.5million.
In the year to 31 March, the group’s revenue increased by 4 per cent to £85.8million, amid improved investment banking fees.
Basic losses per share widened to 2.7p from 1.1p in 2023, and the group did not declare a dividend for the year.
However, the company’s balance sheet remained robust with net assets of £91.8million and a 38.3 per cent increase in cash balances to £37.9million, well above regulatory requirements.
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