Last year Engine Group, owner of Mandate Communications, Hogarth and Penrose Financial, announced plans to raise £50m from an initial public offering or private equity investment in 2010.
The Financial Times this morning quoted Peter Scott, Engine’s chairman and joint chief executive, as saying ‘the appetite is not there’ among investors for new listings. He added: ‘There is no point us going out in that market, so we are getting on with business as usual.’
Engine retiains plans to list at a future date. Scott told the FT: ‘There is no doubt that we, as a group, will require access to capital as we grow the business through acquisitions and begin to do one or two things in other markets.’
Engine, the UK’s largest non-listing marcoms group, reported a rise in first-half like-for-like revenues of 8.2% to £34.3m. Earnings before interest, tax, depreciation and amortisation climbed by 12 per cent to £6.8m.
Full-year 2009 figures saw the group return to profit, with pre-tax profit of £3.95m compared to a £2.78m loss in 2008. This was partly due to reducing headcount at the group by 5 per cent over the year.