Aquatic Foods Group Plc, a provider of Chinese seafood processor, said Monday its intention to list on the market small cap AIM Stock Exchange in London.
Aquatic foods based in China said in a statement it expects trading AIM to begin Feb. 3, and probably gave a market capitalization of about 79 million pounds.
The company operates two brands of seafood products sold to local and international markets separately, and said it would use the proceeds of the notice to strengthen their processing capabilities and expand product distribution networks in China.
Chinese consumers are increasingly turning to products made or ready for consumption as they grow richer, while Chinese exports to the international market of fishery products grew at a rate of 8.8 percent per year between 2009 and 2013, the company said.
"We believe the company is at an exciting stage of development and we hope to capitalize on the growing middle class conscious health in the People's Republic of China (PRC)," said CEO Li Xianzhi.
"We feel that by joining AIM, the Group will be able to benefit from new opportunities and greater increase consumer confidence in our products," he said.
The Chinese government has been working hard to improve national food security after the scandals that have shaken consumer confidence in the country's products. In September Vice Minister Wang Yang promised more reforms to Food and Drug security of the country, besides "toughest sanctions" for violations, according to Xinhua news agency.
The investor appetite for Chinese companies listed on European stock exchanges has recently faltered after a series of business problems in listed companies. In September, the executive director of Chinese shoemaker listed on Frankfurt ultrasonic disappeared with $ 60 million just to get back to the surface several days after claiming to have lost his phone on holiday.
Aquatic Foods is headquartered in the Chinese port of Yantai, Shandong Province and other 54 Chinese companies in AIM-seven will join the main market of London. SP Angel Corporate Finance LLP is acting as nominated adviser and agent company.