Bird & Bird is advising Cairn Financial Advisers LLP (Cairn), the London based Nominated Adviser, on two AIM listings in the energy sector.
Last month, Cairn brought China New Energy Limited (CNE) to market, with admission to trading on AIM becoming effective on 23 May 2011. CNE provides a range of services spanning bioenergy technologies, including process technology, engineering designs and plant manufacturing - predominantly for the construction of ethanol production plants.
CNE's admission to AIM was effected in conjunction with a small fundraising through broker SVS Securities and on admission CNE had a market capitalisation of £20.8m. The IPO, the first by a Chinese company in over a year, was well received and CNE's market capitalisation almost doubled in the first week of trading.
The Bird & Bird team acted for Cairn, as nominated adviser and SVS Securities, as broker.
Bird & Bird is also advising Cairn as nominated adviser to Red Emperor Resources NL (RER) on its Introduction to AIM, currently expected to become effective on 23 June 2011. RER is an Australian based natural resource exploration company with oil and gas interests in the frontier state of Puntland, Somalia and the Republic of Georgia. It is already listed on the ASX in Australia and is seeking a dual listing on AIM with a view to expanding its shareholder base.
Simon Allport, lead Partner in both listings, commented: “We are delighted to be advising Cairn on these two AIM listings. The attraction of the AIM market to overseas companies, particularly in the energy, natural resources and cleantech sectors is increasingly evident and our capacity to advise on such transactions has been enhanced significantly by the expansion of our Energy and Utilities team, including the recent recruitment of partners, Matt Bonass and Michael Rudd.”
Matt Bonass, Partner, Bird & Bird London commented: “With the additional regulatory burden imposed on nominated advisers under the AIM rules, it is essential that they retain legal advisers with the requisite industry knowledge. Bird & Bird's sector focus, both on energy and utilities and other key sectors, leaves us ideally placed to undertake such roles on IPOs and other corporate finance transactions in our chosen sectors.”