Latham on call for biggest London IPO since 2023

Latham & Watkins is advising on the planned London IPO of Cobalt Holdings, a deal that could become London’s largest float in nearly two years.

The metals investment company offers investors direct exposure to cobalt (a key metal for EV batteries) without the risks of mining. It’s looking to raise $230 million through a listing on the Main Market of the London Stock Exchange.

The proceeds will fund the purchase of 6,000 tonnes of cobalt from commodities giant Glencore, which is backing the deal and has committed to taking a block of the new shares.

If it goes ahead, the deal would mark a rare - and much-needed - win for a London IPO market still in the doldrums, after several lacklustre years and high-profile exits.

So far in 2024, London IPOs have raised less than $85 million, compared to nearly $4 billion across Europe, according to Bloomberg, which notes that Cobalt’s float would be the biggest by money raised since CAB Payments raised £291 million in 2023.

There was hope that Singapore-based retail giant Shein’s blockbuster £50 billion float might give the market a lift, but those plans have stalled amid tariff uncertainty and Chinese regulatory sign-off. Shawbrook Bank was also considering a £2 billion IPO, but those plans have also been pushed back, according to Financial News.

Advising

Latham is advising Cobalt Holdings on the listing, led by a London-based team of corporate partners Anna Ngo, Shing Lo, Sam Newhouse and James Inness, with support from counsel and associates across capital markets and projects.

The deal adds to a run of recent high-profile UK mandates for Latham’s London office, including advising DoorDash on its £2.9 billion takeover of Deliveroo - the largest UK take-private of the year - and TA Associates on its £570 million acquisition of FD Technologies, another public-to-private deal.