Fashion retailer Boohoo plans flotation on London's AIM

Friday 28 February 2014 17.13
Boohoo.com claims to have 2.3 million customers
Boohoo.com claims to have 2.3 million customers

British online fashion retailer Boohoo.com plans to list its shares on London's Alternative Investment market, joining a surge of retail groups seeking flotations as the outlook for consumer spending improves.

The firm said in a regulatory filing today that it was seeking a March listing.

Boohoo designs, sources, markets and sells own brand clothing, shoes and accessories through its website to a core market of 16-24 year-old consumers in a large number of markets.

It claims to have 2.3 million active customers.

The filing gave no details of the capital Boohoo plans to raise or divestment by the existing owners with the majority of Boohoo's shares owned by the firm's founders, the Kamani family.

According to media reports, Manchester-based Boohoo plans to raise over £100 million pounds and gain a market value of around £500 million.

Its larger rival, ASOS, also listed on AIM, has a market capitalisation of £5.8 billion.

Peter Williams, a former non-executive director of ASOS, will become non-executive chairman of Boohoo that was set up in 2006.

Boohoo's flotation is one of many expected in Britain's retail sector in 2014 on the back of the country's gradually improving economy.

Convenience store McColl's and online domestic appliances firm AO World have already listed, while Pets at Home and Poundland have set price ranges.

Fat Face, B&M and House of Fraser are amongst other store groups expected to come to market.