Bar operator Nightcap to de-list from AIM

Bar operator Nightcap plans to de-list its shares from trading on London’s AIM and re-register as a private limited company. The company said its board had weighed up “the benefits and drawbacks” to the listing, including “the value that current market capitalisation ascribes to the company, the liquidity of the ordinary shares, the ability to raise further equity through public markets at an acceptable price and the cost of maintaining a public quotation”. Shareholders representing more than three-quarters of the company’s capital have said they will vote for the move which, if approved, would happen on 29 July. Gareth Edwards, chair of Nightcap, said: “We have not taken this decision lightly, however, following an extensive review and deliberation to ascertain the most effective way to maximise shareholder value in the longer term and increase the potential for the long-term success of the company, the board has unanimously concluded that it is in the best interests of the company and our shareholders to cancel our AIM admission and re-register as a private limited company. “The board believes that Nightcap’s current public market valuation does not reflect the underlying potential of our business or our achievements to date and that this is unlikely to change in the short-to-medium term. Since our last institutional fundraise in May 2021, we have demonstrated several times that we can access funding from non-institutional sources at a premium to our share price at the time.” Photo from Nightcap