KEF biggest AIM float this year, over 50 Indian firms now on LSE

By Dipankar De Sarkar, IANS,

London : KSK Emerging India Energy Fund Limited (KEF) has floated on the Alternative Investment Market (AIM), raising a record $200 million, the London Stock Exchange announced Tuesday.


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KEF became the fourth Indian firm to join the LSE’s global market for smaller growing companies, raising an estimated $387 mn between them, the exchange said.

KEF’s arrival takes the total number of companies from India on the LSE’s markets to 52, with a combined market cap of $16.8 billion.

KEF is a close-ended investment firm established to invest in companies engaged in India’s burgeoning power and energy sector.

On admission Monday, KEF raised $200 mn, the largest AIM float to date this year. The other three Indian firms to have joined AIM over the past month are Indus Gas, OPG Power Ventures and Mortice Limited.

Indus Gas joined AIM June 6, raising $48.4 mn; OPG Power Venture joined May 30, raising $128.6 mn; and Mortice Ltd joined May 15, raising $9.8 mn.

An LSE spokeswoman said Indian interest in the LSE remains “strong”.

“With London now firmly established as the number one market for international companies, it makes sound sense for Indian companies with global aspirations to look to joining the London Stock Exchange,” said Tracey Pierce, head of equity primary markets at the London Stock Exchange Group.

“The four Indian firms that have chosen to go global through AIM over the last four weeks are now benefiting from access to the world’s deepest pool of international capital and a knowledgeable, outward looking, professional investor base, committed to serving emerging markets.

“The pipeline of growing, innovative Indian companies looking to admit to AIM remains strong,” she added.

In total, Indian firms have raised $5.3 billion through flotations on the LSE. Trading in the secondary market also remains strong, with over $5 billion worth of trading in Indian securities on the International Order Book so far this year.

To mark KEF’s admission on AIM Monday the fund’s Non-Executive Director, Tanmay Das, opened the LSE’s markets by launching ‘The Source’, a sculpture positioned in the main atrium of its building at Paternoster Square.

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