Global legal business DWF has today confirmed its intention to float on the London Stock Exchange, seeking a full public limited company listing.
The company said it intended to apply for admission of its ordinary shares to the premium listing segment of the Official List of the FCA and to trading on the main market for listed securities of the Stock Exchange.
DWF Group Ltd plans to undertake a reorganisation of its structure, governance and internal contractual arrangements, becoming the parent undertaking of the Group and re-registering prior to admission as a public company limited by shares and renamed DWF Group plc.
The Company expects to announce the final offer price and to publish its final prospectus in time for admission currently planned for March 2019. It predicts a free float of at least 25% of the issued share capital.
It also anticipates to raise "primary gross proceeds" of approximately £75m, to repay a portion of the members’ capital contribution to DWF LLP; to invest in operations and infrastructure including in additional IT systems and certain strategic initiative change programmes in support of its managed services work; to fund working capital for general corporate purposes as well as potential funding for future acquisitions; and to pay underwriting commissions and other fees and expenses related to the reorganisation and float.
Members of DWF LLP who are selling shareholders are expected to hold a majority of the shares after admission. These will be subject to lockup arrangements with the banks, and also subject to a lockup with DWF Group which will expire on the announcement of the financial results for the financial year ending 30 April 2024, with release in stages until then.
With respect to partner remuneration, the Group will remunerate partners on a fixed basis in the event of admission, with the remainder primarily coming from dividend income derived from holding shares, and, in some cases where performance warrants additional remuneration, participation in the annual bonus pool and share incentive plans.