Ashtead Technology Limited, a provider of subsea equipment rental and solutions for the offshore energy sector, is planning to join AIM.
The group works with offshore wind farms and offshore oil and gas infrastructure companies throughout their life cycles, from installation through maintenance to decommissioning.
Its headquarters are in the UK but it works with customers worldwide from its nine offices in various countries.
Ashtead reckons it can capitalise on high growth in the offshore wind market with as well as the inspection, maintenance and repair and decommissioning activities in oil and gas.
Also, customers have been more prone to hire equipment rather than buying it as they focus on returns, free cash flow generation and reducing capex.
Researchers at Rystad estimate that the offshore wind market will grow at 19% per annum from 2020 to 2025, and the subsea IMR and construction and the decommissioning markets will grow at 7% and 12% in the same period, respectively.
The three months to 30 September have seen strong levels of revenue growth and Ashtead expects to reach revenue of £52mln and adjusted underlying earnings (EBITDA) of £21mln in the full year. Over the medium term the group is targeting low double-digit organic revenue growth.
Once admitted to AIM next month, Ashtead will appoint Bill Shannon as non-executive chair and Thomas Thomsen and Tony Durrant as non-executive directors.
“We are now ideally placed to benefit from the huge rise in global investment into offshore wind as energy producers transition towards more renewable sources of energy,” said chief executive Allan Pirie.
“An IPO enables us to capitalise on this opportunity, strengthen our product and service offering, extend our geographic footprint and pursue further complementary acquisitions.”