Foxtons makes bumper debut
Foxtons’ shares have risen 16% on the London estate agency chain’s first trading day on the Stock Exchange.
The climb of almost a quarter reflected the renewed sense of boom in the capital’s housing market. Foxtons said it had raised at least £390m from investors after the heavily oversubscribed shares debuted at 230p, giving the company an initial market capitalisation of at least £649m and earning top staff an instant fortune of £87m. Nineteen senior managers sold 50% of their holdings in the firm on Friday. The shares hit 285.5p at one point before closing at 267p. Up to 17m more shares could be sold through an “overallotment” option, brought to market by BC Partners. Foxtons had to make some awkward disclosures to go public. One was that Alexander Hall, its mortgage-broking arm, was subject to a two-year Financial Services Authority investigation that ended two years ago without any charges. Foxtons’ float success helped spur interest in other property stocks. Countrywide closed up 2.2% at 570p and Persimmon ended the day 1.4% higher at £11.27.
21/09/13 Financial Times 1, 2, 13, 19Times 55, 56Daily Telegraph 37Independent 53, 55, 56Guardian 3
Foxtons’ shares have risen 16% on the London estate agency chain’s first trading day on the Stock Exchange. The climb of almost a quarter reflected the renewed sense of boom in the capital’s housing market. Foxtons said it had raised at least £390m from investors after the heavily oversubscribed shares debuted at 230p, giving the company an initial market capitalisation of at least £649m and earning top staff an instant fortune of £87m. Nineteen senior managers sold 50% of their holdings in the firm on Friday. The shares hit 285.5p at one point before closing at 267p. Up to 17m more shares could be sold through an “overallotment” option, brought to market by BC Partners. Foxtons had to make some awkward disclosures to go public. One was that Alexander Hall, its mortgage-broking arm, was subject to a two-year Financial Services Authority investigation that ended two years ago without any charges. Foxtons’ float success helped spur interest in other property stocks. Countrywide closed up 2.2% at 570p and Persimmon ended the day 1.4% higher at £11.27. 21/09/13 Financial Times 1, 2, 13, 19Times 55, 56Daily Telegraph 37Independent 53, 55, 56Guardian 3
