Reporting Accountant services for an Initial Public Offering (IPO) on LSE AIM
Our client, Tan Delta Systems provides equipment monitoring systems and monitoring services to a range of companies that use machinery to improve the reliability of their equipment, enabling a material reduction in their maintenance cost and reducing their carbon footprint.
haysmacintyre supported the IPO through the provision of Reporting Accountant services to meet the LSE’s listing regulation requirements.
Our client completed a successful IPO on the AIM market in August 2023, raising £6m by offering its shares at 26 pence each, alongside a secondary sale of existing shares to investors through PrimaryBid totalling £0.6 million.
The Reporting Accountant provides a public opinion required by the rules governing the capital market transactions and financial due diligence for the directors and the company’s Nominated Advisor (NOMAD) to meet regulatory requirements.
Alongside this, there were various occasions throughout the transaction where advice was sought in relation to the corporate structuring, Plc re-registration, share scheme implementation amongst other things.
haysmacintyre reviewed and reported on the Historical Financial Information (HFI) of the company, displaying the last three years of financial performance and position for inclusion in the company’s Admission Document. We completed audit reviews and procedures on these numbers and concluded that the company’s financials warranted an unqualified audit opinion within our Accountant’s Report on the HFI, which was displayed in the public Admission Document.
Additionally, we prepared reports for the directors and NOMAD of our client surrounding the Financial Position and Prospects Procedures (FPPP), and the Working Capital requirements of the business. We also completed financial and tax due diligence procedures within a Long Form Report to provide assurances to the directors and the NOMAD over the financials of the company.
The corporate structure was discussed at length, taking into account the historical trade of the company, EIS eligibility and legal requirements for a Plc re-registration. It was determined that the most appropriate route to take would be the Plc re-registration of the existing trading company, which required a balance sheet audit soon after an equity restructure. We were able to complete the balance sheet audit and associated companies house reporting within a tight timeframe to ensure there was no impact on the overall IPO timetable.
haysmacintyre completed the Reporting Accountant workstreams promptly in line with our client’s timetable for the IPO. Our client was successfully admitted to AIM and raised £6m through the sale of shares to public investors and existing shareholders were provided with a partial exit of £0.6m through the sale of shares to retail investors through PrimaryBid.
Awards and Accreditations
