Inspecs raises £19.3m in IPO valuing company at £138m

Inspecs has raised £19.3m in a share placing to fund acquisitions and investments that values the spectacle frames maker and distributor at £138m.

The company said it had placed shares representing 68.2% of its share capital at 195p a share with investors, raising about £94m before expenses.

Gross proceeds for the company from the initial public offering will be £23.5m or £19.3m after advisor fees and other costs. The selling shareholders, including chief executive Robin Totterman, will receive £70.5m.

When the shares start trading Totterman will own 26.7% of the company and 52.2% of Inspecs will be in public hands. Dealing is expected to start on 27 February.

Totterman founded the company in 1988, expanding into licensed brands and international markets such as Hong Kong and the US. It now has distribution in 80 countries and relationships with Specsavers, Boots, TK Maxx and Sam's Club and factories in Vietnam, China, London and Italy.

Totterman said: "We are delighted to have received a positive reception from a high quality set of investors, all of whom recognise the strong track record, differentiated proposition and competitive strengths of the business … This IPO will enable the business to fuel its growth ambitions both organically and through acquisitions."

The company said it had a record of growing its own business and making successful acquisitions. Annual underlying earnings rose from $1.5m in 2016 to $11.9m in 2018.

Inspecs said the global eyewear market was worth more than $131bn and was expected to expand at more than 7% a year based on growing demand for glasses to improve sight, purchases of trendy eyewear in emerging markets and the benefits of protecting eyes with sunglasses.