Shares in investment company to trade on stock markets

SHARES in Boundary Capital, the investment vehicle controlled by Niall McFadden, will begin trading on the Dublin and London stock markets.

The company, which has substantial stakes in office management firm Veris, building site company Siteserv and book publisher CJ Fallon, will raise €25.2 million in fresh equity and have a market value of about €53m.

Mr McFadden, the sole shareholder at present, will see his stake diluted to just over 44%.

Boundary intends to use the proceeds of the listing on Dublin’s junior market, the IEX, and London’s Alternative Investment Market, to invest in companies “with attractive cash flow characteristics and strong management teams”.

Investors in the company following the listing include Bank of Ireland Asset Management, Deutsche Bank and Oppenheim Investment Managers.

Declan Cassidy, Boundary’s commercial director, is to get a small stake in the company, while NTR Group’s finance director Michael Walsh is to join the board as a non-executive director.

Boundary also lists among its investments a golf and country club operator in Britain and the Prontaprint printing business, and it is closing in on buying the free ads newspaper Buy & Sell.

Mr McFadden has emerged as one of the country’s leading dealmakers in recent years, playing advisory roles in Riverdeep and Arnotts.

He is also involved in the property market with the well-known developer and hotelier Paddy Kelly. Last year they bought the Marriot Hotel, adjacent to the Sawgrass Golf Club in Florida, home to The Players’ Championship.

Mr McFadden, 41, previously worked for oil company Tedcastle Holdings, beef baron Larry Goodman and the investment bank Morgan Stanley.