European law firm Fieldfisher has advised CT Automotive Group PLC, a leading designer, developer and supplier of interior components to the global automotive industry, on its admission to trading on London's AIM market and a successful placing (conducted by Liberum) raising gross proceeds of approximately £33.6 million.
Shares in the company were admitted to trading on AIM on 23 December 2021, with a market capitalisation of approximately £75 million for CT Automotive.
Portsmouth, UK-based CT Automotive specialises in making bespoke interior components – such as arm rests and dashboard panels – via its low-cost international manufacturing footprint, with key production facilities in the UK, China, Turkey and the Czech Republic as well as distribution capabilities across Europe, the US and Japan.
Founded in 2000 by Executive Chair Simon Phillips, CT Automotive has built a high-quality roster of original equipment manufacturers (OEMS), end customers, both directly and via Tier One suppliers. End customers include volume vehicle manufacturers, such as Nissan, and luxury car brands such as Bentley and Lamborghini and electric car manufacturers, including Lucid.
The company currently supplies component part types to over 45 different models for 17 OEMs and delivered over four million systems in the 12 months to 31 December 2020.
Despite the impact of the pandemic and semiconductor shortages on automotive output over the past two years, CT Automotive is optimistic about the future and expects production volumes to recover in 2022.
CT Automotive intends to use the net proceeds to reduce the group's debt and unlock free cash flow to support the next phase of growth, including enlarging its facilities in Europe and North America, taking on an increased number of new programmes, increasing R&D expenditure and entering more strategic partnerships.
CT Automotive was advised by Fieldfisher's band 1-ranked equity capital markets team.
Commenting on the company's successful admission to trading, Dominic Gurney-Champion, corporate partner at Fieldfisher who led the legal team advising CT Automotive on its IPO, said:
"CT Automotive's decision to float on AIM, despite challenges in the global automotive industry, demonstrates confidence in the value of a London listing to strengthen and develop a business.
"We congratulate the team at CT Automotive on this successful IPO, in what has been an extremely busy year for our equity capital markets team in bringing new and diverse companies to the London Stock Exchange."
Scott McKenzie, Chief Executive Officer of CT Automotive, commented:
"The IPO is the natural next step in CT Automotive's journey. We are an essential part of the supply chain for a growing number of the world's leading car manufacturers in a market worth approximately US$6.5 billion.
"The funds raised through the Placing will increase our capacity to invest in the growth of the business, supporting our ambitions to develop relationships with more manufacturers and further increase our market share."
CT Automotive was advised by corporate partner Dominic Gurney-Champion and senior associate, Lily Searle, with support from others members of the London team as well as Fieldfisher's Chinese offices.
Fieldfisher is a European law firm built around its people. We are a full-service firm with market-leading practices in energy and natural resources, technology, financial services and life sciences.
Our network of more than 1,700 expert people spans 25 offices in 11 countries, including our US and China locations, acting alongside our international partner firms, enabling us to advise clients around the world with seamless efficiency and dedication across time zones and disciplines.
A Times Top 20 Law Firm, we are highly commended by the European Financial Times Innovative Lawyers rankings and repeatedly nominated for awards in areas including dispute resolution, public and regulatory, M&A and IP.
Our lawyers are consistently recognised by legal directories as leading professionals in their areas of specialism and we are ranked tier 1 or 2 in a number of our key practice areas.
For more information about our firm, please see: About | Fieldfisher
Sign up to our email digest
Click to subscribe or manage your email preferences.