A family-run online electricity retailer is considering listing on the AIM exchange.
Leicester-based television and home appliance specialist Marks Electrical has grown from a small store selling kitchen appliances to a turnover of £ 56million nationwide.
It was set up in Leicester in 1987 by former Rumbelows seller Mark Smithson, 56, who made it one of the UK’s first online electricity providers in 2005.
Thanks to strong lockdown sales, the company has seen its share of the £ 5.3bn home appliances market rise from 0.76% to 1.22% in the past year.
Today it sells around 3,000 products on its markselectrical.co.uk site, including stoves, refrigerators, washing machines, dryers, dishwashers and televisions, all from UK distributors.
Revenue reached £ 56million through March, up 78% from the previous year, helped by more people shopping online during the pandemic.
Pre-tax profit for the year was £ 7.1million, up from £ 790,000 a year earlier.
The company, now based in Beaumont Leys on the edge of Leicester, has its own fleet of delivery drivers and offers installation and recycling services. In total, it employs around 110 people.
Admission to the Alternative Investment Market (AIM) – a sub-market of the London Stock Exchange designed to help small businesses access capital – is expected later this month and will be overseen by Panmure Gordon (UK). United).
Mr. Smithson, Managing Director of the company, said: “I am delighted to announce our intention to register with AIM.
“This is an important step in our growth journey as we continue to grow the business and provide premium electrical items to the growing number of consumers who purchase electrical appliances online.
“We see significant opportunities to continue to grow our market share, improve brand awareness and continue to leverage our strong commercial momentum. “
As part of the plans, the company is bringing in three experienced non-executive directors: Marnie Millard, former CEO of Vimto owner Nichols Plc; former senior partner of Ernst & Young, David Wilkinson; and human resources specialist Alyson Fadil who has held senior positions at Selfridges, Missguided and Sofology and is director of human resources at digital clothing and footwear retailer N Brown Group.
Mr. Smithson said: “I am also looking forward to Marnie, David and Alyson joining the board. Their experience is already proving invaluable as we move towards our list.
Marnie Millard said, “Mark and his team have built a high quality, innovative company over the past three decades and I am delighted to join the Board of Directors as Chairman at this exciting time.
“As one of the first electrical retailers to transition to selling products online, Marks Electrical has a deep market knowledge and understanding of its customers that have been key to its continued growth.
“With a scalable platform, backed by proprietary technology, a simple distribution network and a vertically integrated delivery model, the company has many growth opportunities ahead and I look forward to working with Mark and the board. administration. “
A statement announcing the intention to float said that Marks Electrical wanted to rely on the 6% of the English population who knew the brand, and its central warehouse in Leicester – 15 minutes from the M1 – allowed “cost and time effective ”to more than 80 percent of the UK population.
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