IPO short of expectations
Land of Leather has launched its initial public offering with a price of 149p a share. The listing values the company at£77.6 million, falling short of market expectations of£100 million. The money raised will be used to pay off shareholder loans, pay staff bonuses relating to the IPO and buy back existing B shares in issue.

The retailer believes the flotation will provide stable financing for its growth strategy.

Chief executive Paul Briant said: 'Land of Leather has a number of excellent opportunities to continue the successful development of the business. We look forward to pursuing these with new investors as a listed business.'

Despite the director's obvious enthusiasm, one analyst poured cold water on the listing. Evolution analyst Nick Bubb said: 'We never thought it would be easy to float a furniture retailer at the moment and the Land of Leather IPO has indeed flopped, with the final valuation of£77.6 million, well short of hopes of more than£100 million despite reporting like for like sales growth of more than 9 per cent.'