High Growth Segment

  • Just Eat

    From High Growth Segment to the Premium Segment May 2014

The High Growth Segment (HGS) is a segment of the Main Market, designed to assist mid-sized European and UK companies that require access to capital and a public platform to continue their growth.

 

What type of company can access HGS?

HGS is for the equity shares of UK and European trading businesses that can demonstrate significant growth in revenues and a longer term aspiration to join the Premium Segment of the Main Market.

Specific eligibility criteria include:

  • incorporation in an EEA state
  • equity shares only
  • revenue generating business with historic revenue growth of 20% (CAGR) over a 3 year period
  • minimum free float of 10%  with a value of at least £30 million (majority of the £30 million must be raised at admission)
  • a Key Adviser (who must be a UKLA approved Sponsor) to be retained at admission and for specific matters including notifiable transactions

You can read more about the High Growth Segment in our library of documents where you can also find some HGS FAQs.

Click here to obtain the HGS eligibility letter.

What is the regulatory status of HGS?

HGS has EU Regulated Market status, but sits outside the UK's Listing Regime. HGS companies are therefore subject to London Stock Exchange's HGS Rulebook and existing Admission and Disclosure Standards. In addition, as a Regulated Market the Prospectus Directive, Transparency Directive and the Market Abuse Regulation apply.

Route to the Main Market

Routes to London Stock Exchange's Main Market

Premium

  • For equities of trading companies and closed and open-ended investment entities.
  • EU Regulated Market and part of the Official List
  • Highest standards of regulation and corporate governance through EU directives and super-equivalent UK Listing Rules apply

Standard

  • For equities, debt securities, GDRs and securities derivatives
  • EU Regulated Market and part of the Official List
  • Regulatory framework based on minimum EU standards

High Growth Segment

  • NEW segment for equities, designed specifically for high growth, revenue generating EEA incorporated businesses
  • EU Regulated Market
  • Subject to minimum EU standards and London Stock Exchange’s HGS rulebook

Benefits of joining HGS

  • Companies will enjoy the significant benefits of being on a London market – in particular access to capital on an ongoing basis through a diverse and deep investor pool; ability to use shares as acquisition currency; access to an expert advisory community to help gain profile; and a regulatory framework that provides investor confidence without proving burdensome.
  • Free float requirement at admission enables founder shareholders, including venture and private equity investors, to float a smaller percentage of the company at an earlier stage of development, as the company transitions from being private to becoming a public company.
  • A dedicated segment that acts as a launch pad for growth businesses to increase their visibility with the analyst and investor community, as well as enhance their business profile with existing and potential customers and suppliers.

Entry criteria for fast growth businesses

Entry criteria tailored for fast growth businesses To join HGS, a company must:

  • be incorporated in the European Economic Area
  • be a revenue generating, trading business
  • demonstrate growth in revenues (on a CAGR basis) of at least 20% over three year period prior to admission
  • have at least 10% of the number of securities admitted in public hands with a value of at least £30 million (the majority of which must be raised at admission)
  • appoint a Key Adviser in relation to admission
  • set out an intention to join the Listed segment of the Main Market over time

Access more information

Rules & documents

Please email us to request an editable version of the Key Adviser application form;