Chapel Down Group PLC (AQSE:CDGP) completed its move to AIM with first deals in England's largest winemaker taking place this morning after graduating from the Aquis Exchange.
At the 54.6p price of the first deals, up from 53p the day before and 42.5p a year ago, the company has a market valuation of £87 million.
Chief executive Andrew Carter hailed the move to the London Stock Exchange's junior market as one that "reflects the maturity of the business and the ambitious growth plan we are committed to delivering in the years ahead".
Having been first admitted as a public company on the OFEX Exchange precursor to Aquis in March 2003, Carter said the company "greatly benefitted from its AQSE listing" as it grew from a start-up in an embryonic industry and built a track record of profitable growth.
He said the board expects the move to AIM will "attract a wider pool of investors to participate in Chapel Down's growth as the leading producer in the world's newest global wine region and as we continue to pursue our well progressed and fully funded plan to double the size of the business in the five years to 2026".
Last year, the company sold 1.4 million bottles of wine in 2022 via pubs, supermarkets and direct-to-consumer, helped by brand-building sports partnerships with the England & Wales Cricket Board and Ascot Racecourse.
Last month, the company confirmed a record 2023 harvest, with tonnage up 86% year-on-year and 75% higher than the previous record from 2018.
July's interim results showed net sales revenue up 21% to £8.4 million as total wine volumes increased 6% to 721,000 bottles, helped by sparkling wine volumes up 32% to 428,000 and average sales price growth of 16%, part of its 'premiumisation' strategy.
This includes a continued shift of the sales mix to its sparkling wine which is made using the same traditional methods as Champage.
Operating profit grew 27% to £685k and profit before tax 26% to £618k. Net cash at 30 June stood at £1.1 million.