Velocity looks to stock market to raise £14m

Burnley-based Velocity Composites is hoping to raise up to £14.4m by floating on the Alternative Investment Market this week.

Mark, who is based in Lytham St Annes, has a long track record of helping businesses to build value.

Currently he runs the Mark Mills Partnership advising companies on their growth strategies and efficiency improvements. Since 2013, he has been non-executive chairman of LDC-backed pipeline inspection equipment specialist Mini-Cam, which is based in Warrington.

Velocity makes advanced composite products for the aerospace industry. The company, which was founded in 2007 by Jon Bridges, Chris Banks and Gerard Johnson, achieved revenues of £14.6m in 2016 and adjusted pre-tax profits of £300,000.

Mark said: “Velocity is a great business. Its model is predicated on helping manufacturers to save time and material costs, and therefore money, while also allowing them to concentrate on their core business to help increase production rates.

“Realising that funding would be required, the suggestion of a flotation accords in this instance with customers and suppliers who appreciate that a market listing offers transparency, access to capital, long-term sustainability and even greater corporate governance.

“While in the last few years I have mainly worked with companies seeking a transition of ownership, Velocity required a solution for additional funding and a long-term plan to meet its customers’ demands. “It was warmly greeted in the city when I introduced it, and the investors all run long-term funds which suits the company, as it will be able to meet any future potential funding requirements as it expands further.”