Foseco has came back to the stock market with a full listing after an absence of nearly 15 years.
The newly-launched shares of the Tamworth-based supplier of consumable products to improve the performance of foundries and steel mills stayed a few pence ahead of the 100p at which the venture capital company Cinven had placed 107 million shares, 60 per cent of the equity, with investing institutions.
The shares closed at 1011/2p after nearly ten-million shares changed hands.
The placing price valued Foseco at £169.15 million. The company raised no new money in the listing and Cinven is keeping 30 per cent of its holding. Jamie Pike, chief executive, bought another 100,000 raising his stake to 3.7 million shares or 2.2 per cent.
Mr Pike said: "The enthusiasm shown by our investors reflects well on the prospects for the business. Foseco has a strong track record and the float will raise our profile and further enhance our ability to take advantage of the opportunities available in our markets."
The company, previously listed as Foseco Minsep, was taken over by Burmah Castrol in December 1990. BP subsequently took over Burmah and sold Foseco to a buy-out led by Mr Pike and backed by Cinven in September, 2001.