It has been reported that The Mailbox, a large retail centre and the home of Harvey Nichols and the BBC in Birmingham, is being lined up as the first property to be listed on the London based IPSX stock exchange and is expected to receive an independent valuation of more than £200 million.
The IPSX describes itself as the world’s first regulated securities exchange, dedicated to IPOs and secondary trading of companies owning single institutional grade real estate assets or multiple commercial property assets of a very similar type.
IPSX obtained recognition by the UK Financial Conduct Authority (FCA) as a Recognised Investment Exchange at the beginning of 2019. To be admitted to the IPSX Prime market, a company must:
- Have an initial market capitalisation of at least £25m
- Appoint an IPSX Lead Adviser to manage the IPO process, as well as an IPSX Approved Valuer and IPSX Market Maker
- Sell down a minimum of 25% of the company’s shares at the point of admission
- Limit its debt loan to value ratio to 40%
- Prepare a prospectus (including a valuation report) for approval by the FCA
- Adopt a corporate governance code
- Have audited their accounts
In addition, IPSX Wholesale is a market exclusively for professional investors, which is capable of accepting a variety of different corporate structures within a flexible regulatory environment.
DMH Stallard’s Corporate Team are experienced in advising companies and financial advisers in relation to listings, secondary fundraisings, private placings and transactions on London’s Main Market, AIM and the NEX Growth Market. Our Real Estate team also acts for property companies, developers and providers of finance on property transactions, secured lending and the property elements of corporate sales and acquisitions.
For more information on this topic or for information on other services offered by DMH Stallard, please contact Nick Williams, Partner in our London Corporate Team.