Hercules Site Services floats on Stock Exchange
Hercules Site Services plc, a labour supply company for the UK infrastructure sector, has floated on the London Stock Exchange's junior AIM – raising £4 million as part of its initial public offering.
Based on an issue price of 50.5 pence a share, the Cirencester-based company was valued at a shade under £30 million.
The business counts construction firms Balfour Beatty, Costain, Skanska and Kier among its customers. It is one of six companies supplying 4,000 workers to the HS2 high-speed rail project over the next five years.
The funds raised as a result of the public offering will be used to rapidly deliver on the significant demand Hercules is experiencing for its diverse range of services across the UK infrastructure sector, including to scale-up of its operations to supply labour to the northern section of the HS2 rail project from London to Birmingham.
Hercules CEO Brusk Korkmaz said: "Over the past 12 months we have achieved significant momentum and milestone contract wins, which has culminated in today’s successful AIM listing. We hope to provide investors with exposure to both income and growth, and are delighted to welcome our new shareholders to the Hercules register.
“We have built Hercules to become a leading labour supply business over the past 14 years and our digital-first approach has helped us attract major construction businesses to our client portfolio. Our proven and rapid delivery track record has led to our work with our long-standing partner, Balfour Beatty, on HS2; this is expected to significantly step-change our growth in the next 12 months and beyond.
“This IPO will enable Hercules to capitalise on the rapidly growing market opportunity in the labour supply market; the demand for skilled labour is higher than ever before due to the multi-billion infrastructure commitments made by the UK government and we are experiencing unprecedented demand for our services.
“Therefore, having identified multiple exciting growth opportunities, and proven the fast-growth and profitable nature of our business model, we believe that we are well-positioned to gain market share through organic expansion, cross-selling and acquisition opportunities.”
