Keywords Studios begins trading on AIM in London

Shares in Dublin-headquartered Keywords Studios, which provides video game services for Microsoft, Electronic Arts and Disney, has begun trading on London's Alternative Investment Market (AIM).

A conditional placing at 123p per share raised estimated gross proceeds of £28 million, including £10 million receivable by the company.

The market capitalisation of the business on admission was £49.2 million.

"We saw strong interest from a series of blue-chip investors and it is testament to the growth story of the company that we have succeeded in our ambitions to become a listed company," chief executive Andrew Day said.

He said AIM was chosen due to its reputation as a stock market for growing companies, particularly high-growth technology companies.

“We also considered floating on Nasdaq but ultimately chose AIM because it is more familiar to us,” he added.

The money raised will be used to expand into new markets, extend the services of the company and make some acquisitions.

Launched in 1998, Keywords tests video games, provides assistance in translation and cultural adaptation, helping to market popular games across the world. It has worked on games such as Guitar Hero, Pro Evolution Soccer 2013, Tomb Raider, Halo 4 and Farmville 2.

The company employs 120 full-time staff and reported pre-tax profit of €2.74 million on revenues of €14.3 million last year. Since 2010 profits at keywords have grown 158 per cent, while revenues are up 60 per cent.