THE chief executive of one of Scotland’s most successful Aim flotations has banked more than £9.5 million after selling part of his stake.
Alan Foy sold around 4.4 million shares in Smart Metering Systems, a Glasgow-based gas meter supplier that has seen its share price more than quadruple in the 16 months since it floated. Founder and deputy chairman Steve Timoney sold 1.86 million shares, worth £4m.
The shares, totalling 7.6 per cent of the company, were sold to institutional investors at 215p each – which compares to the flotation price of just 60p. The company said the sale should boost liquidity of its shares.
Both men still own substantial stakes – Timoney has over 23 million shares and Foy holds 8.9 million - together more than 38 per cent of the company.
They have agreed not to sell further shares, except in exceptional circumstances, before December next year.
In September Smart Metering Systems posted an 88 per cent increase in half-year profits after significant growth in portfolio of meters. It also said it was eyeing a push into the water market.
The company installs devices on behalf of gas suppliers and then operates them on a contract, charging an index-linked rent.
In the six months to the end of June, the group’s meter portfolio increased by a quarter to 283,275 units, reflected in revenue growth of 25 per cent, to £9.3 million. Shares closed down 1.5p at 247p.