Pathos Communications Plc (LSE:NEWS) shares rose over 6% to 32p on their first day of dealings on AIM after raising £5.6 million in its initial public offering.
The Dubai-based company said it aims to revolutionise public relations for small and medium-sized companies using a “pay-on-results” model and proprietary AI-driven technology.
The company, led by former BBC radio presenter Omar Hamdi, has a debut market capitalisation of approximately £20 million based on the 30p placing price.
Of the £5.6 million raised, Hamdi plans to spend £5 million to support international expansion, product development, and team growth.
Hamdi founded Pathos in 2019 with the objective to use technology to "democratise access to premium media outlets for SMEs globally", with an operations hub opened in Dubai two years later to "maximise growth and benefit from access to a global talent pool of employees".
According to the admission document, in the 2024 financial year the company’s annual revenue was US$11.4 million, with EBITDA of $287,000 and a loss before tax of $473,000.
Hamdi commented: “Admission to AIM will provide us with an enhanced platform, expanded resources, and increased market visibility to accelerate this momentum.”
Pathos was ranked the fastest-growing advertising and marketing company in the UK in the FT 1000 and sixth in the Deloitte UK Technology Fast 50. The company serves over 6,000 clients across 89 countries.
Economic Secretary to the Treasury Lucy Rigby welcomed the listing, calling it a sign of “real momentum behind companies listing in London.”