Peel Hunt returns to profit on revival in IPOs and M&A activity
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Peel Hunt swung back to profit in the first half following a rebound in dealmaking volumes and appetite for public listings. The investment bank posted a £1.2million pre-tax profit for the six months ending September, compared to a £0.8million loss over the same period last year.
It said the result reflected a 'more positive macroeconomic backdrop,' with more companies issuing equity and a surge in mergers and acquisitions bids involving major London-listed firms. There were 19 active offers for FTSE 350 businesses during the first nine months of 2024, including Robinsons squash owner Britvic, cybersecurity giant Darktrace, and video games services provider Keywords Studios, compared to just two last year.
Peel Hunt also noted that IPO activity was 'gradually resuming' on the London markets, which have struggled to attract new listings and experienced defections to Wall Street over the past few years. It was a joint bookrunner on the IPO for Raspberry Pi, a budget computer maker whose products are popular with amateur coders and hobbyists, and the nominated adviser and sole bookrunner for the IPO of medical technology group AOTI.
Recovery: Peel Hunt swung back to profit in the first half following a rebound in dealmaking volumes and appetite for public listings. Combined with performing equity fundraises and block trades for some clients, this helped its half-year investment banking revenues jump by 30.6 per cent to £22.6million.
