UK software firm Tax Computer Systems Limited (TCSL) has become the latest UK technology IPO after receiving investment from technology merchant bank MXC Capital.
In a London Stock Exchange announcement this morning, MXC said it acted as the lead adviser and investment to the AIM flotation of the Staines-based firm, which operates across the UK and Ireland.
TCSL, which was founded in 1991 and specialises in corporation tax software, claims to have revenues of £12.8m, of which more than 90 per cent are recurring. MXC's investment values the firm at £73m and partner Gavin Lyons will become executive chairman of the firm.
MXC chairman Peter Rigg said: "The transaction is another example of the MXC model at work: identifying the opportunity, advising on and executing the transaction, securing the funding and then adding the operational management experience to drive the strategy."
TechMarketView managing partner Anthony Miller said the move suggests UK tech is faring well after Brexit.
"Clearly recent events have not soured investor appetite for UK tech," he said. "Let's celebrate success."
Last week MXC announced the disposal of most of its shares in Redcentric, a firm in which it was an original shareholder when it demerged with Redstone.
On 23 June, it sold 5.8 million shares at £1.80 per share, raising £10.44m. Its initial investment in Redcentric was £3.4m, meaning it will gain £7.04m from the disposal.
The firm will retain just under 50,000 shares in the firm and Tony Weaver will remain as non-executive director after standing down as CEO last November.
For the year ended 31 March 2016, Redcentric reported profit before tax of £7.4m and had net assets of £97.5m.
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