Jellybook wobbles on its maiden day
JELLYBOOK endured a shaky start to life on the alternative investment market yesterday, after its successful initial public offering (IPO) this month.
It floated for 10p a share, raising nearly four times the £3m initially slated. But yesterday it was trading for as little as 8.75p, a drop of 12.5 per cent. It peaked at over 11p.
The social media investment vehicle fronted by Jonathan Rowland raised £11m, giving it a market cap of more than £17m. The firm plans to make one major acquisition in the next 18 months, riding the wave of intense demand for dot.com companies. Jellybook is Rowland’s second dot.com firm, the first – Jellyworks – launching a decade ago. He floated that at 5p a share and saw it rise to an eye-watering 100p a share before the crash hit. He sold it for a respectable 29.5p a share to Shore Capital.
Rowland, son of colourful tycoon David “Spotty” Rowland, says he hopes to make Jellybook one of the biggest social media companies in Europe.