Yahoo Finance Online building materials retailer CMO reveals plans for AIM float
CMO Group, the UK’s largest online-only building materials retailer, has revealed plans to float on AIM as the home improvements market continues to boom in the pandemic.
The retailer stocks over 75,000 products across seven websites and offers trade accounts and adviceservices to builders and DIY enthusiasts. The listing is planned for early July, and market sources suggested the company will see a valuation of around £100 million.
Announcing the IPO plans on Friday, CMO highlighted the construction sector's comparatively slow move online, and Britain's £27 billion addressable building materials market.
The firm has seen like-for-like sales growth up 30% year-on-year so far in 2021, and executives said they see a "significant opportunity" for organic growth as customers shift permanently online post-Covid. Directors also see opportunities for acquisitions.
CEO, Dean Murray, said the listing plans are an "exciting new chapter".
He said: "Our clear and focussed strategy will enable us to continue to capture further profitable share in an under penetrated market as customers increasingly move online.”
A string of digital-focused firms have floated in 2021, from giants Moonpig and Deliveroo to smaller AIM floats of doorstep delivery firm Virgin Wines and over-60s meals maker, Parsley Box. Just last week fellow DIY-focused company, bathroom specialist Victorian Plumbing, listed after seeing rapid growth in lockdowns.
Liberum acted as nominated adviser and sole bookrunner on the IPO.
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