Colostomy bag maker ConvaTec is to list on the London Stock Exchange early next month in what will likely be the largest UK float since the Brexit referendum.
ConvaTec - a major international manufacturer of medical gear, including wound dressings and incontinence products – is set to raise US$1.8bn (£1.4bn) from its initial public offering.
City sources reckon it could be valued at around £4-6bn, meaning the group will likely head straight to the FTSE-250 and could be a FTSE-100 contender depending on valuation.
"Our competitive position is strong and to drive additional growth we are actively investing in the evolution of our product portfolio to deliver further benefits to patients and healthcare providers, and in pursuing opportunities to enter new markets,” said chief executive Paul Moraviec.
“Our ambition now is to continue to lead the market and deliver value for a more diverse group of shareholders through sustainable growth and improving margins."
ConvaTec was sold by Bristol-Myers Squibb back in 2008 to private equity groups Avista Capital Partners and Nordic Capital. It operates in over 100 countries with 9,000 employees.
At the end of last year, the group generated annual revenues of US$1.65bn, with adjusted operating profits of US$436.8mln. The float will mostly be used to pay off existing debt.
ConvaTec’s IPO will follow a number of other companies unperturbed by Brexit.
The fear surrounding June’s vote to leave the European Union seems to be fading and companies are rolling into London with renewed confidence.
Hollywood Bowl (LON:BOWL) kicked off an unexpectedly active season for IPOs, followed by waste disposal firm Biffa, Pure Gym and Go Compare.
Mobile network O2 said it could float by the end of the year and tech firm Misys could overtake ConvaTec if its planned £5.5bn float goes ahead.
In recent weeks, Canadian miner Strongbow Exploration, online bingo platform Intertain, and South African mineral explorer White Rivers have all announced plans to list in London.