Dentists to float at £45.2m

BRITAIN'S biggest chain of dental practices will be the first company to float on the main stock market this year after it succeeded in placing 13.3m of its shares at 150p to raise £13.5m.

Dealings in IDH shares are expected to begin on Valentine's Day next Thursday, 14 February. At the placing price the group will be capitalised at £45.2m. Three high-profile shareholders in the chain control 36% of the equity - Luke Johnson of Belgo restaurants, Matthew Allen of Pizza Express and chief executive David Hudaly.

IDH includes 99 unbranded practices in England and Scotland doing mainly NHS work. A further 29 clinics operate under the Whitecross brand.

Dental practices are a highly fragmented market of which IDH controls 1.35%. The total market is estimated to be worth £2.8bn, shared among 9300 practices. NHS work provides most of the income.

There were some worries that the float might be pulled because of the recent Office of Fair Trading decision to investigate overcharging allegations against dentists. But the float's backer, Altium Capital, has gone ahead despite weak-looking market conditions that could lead to the shares opening at a discount.