Let’s look at three interesting small cap companies which have recently listed on the markets during these traditionally quiet summer months.
1) Angling Direct
There aren’t many sports which offer the possibility of taking home dinner when you’ve finished playing. But angling, one of the most popular participation sports in the UK, is one of them. According to the latest survey by Sport England, 106,200 people went fishing once a week in the 12 months to September 2016. And with around 1.2 million rod licences currently issued every year, many more people are getting their tackle out at some point in the calendar.
One company taking advantage of this market, estimated to be worth around £570 million in equipment sales, is Angling Direct (LON:ANG). The company, founded in Norfolk in 1986, claims to be the largest specialist fishing tackle and equipment retailer in the UK. Founders, Martyn Page and William Hill, began the last financial year 45% of revenues came from the retail store network, with 42% derived from the Angling Direct website, which has a database of c.235,000 customers. The balance of sales was split between third party websites and from providing fishing tackle to the UK insurance industry for the settlement of claims under household insurance policies.
Angling Direct floated on AIM on 13th July and raised a total of £9 million in an oversubscribed placing at a price of 64p per share, with £1.6 million of that going to selling shareholders (including the founders and CEO Darren Bailey).