Business

Belfast IT firm Kainos hits £1bn stock market valuation

Kainos' chief Brendan' Mooney's stake in the company was valued at around £120m for a period on Friday
Ryan McAleer

BELFAST-based IT firm is now valued at more than £1bn by the London Stock Exchange.

The market capitalisation for the tech company hit £1.02bn for a time on Friday. It follows a 69 per cent surge in its share value over the past three months.

Shares in the FTSE 250 listed Kainos Group PLC reached a new record a high of £8.44 yesterday, up from £8.30 on Thursday.

Shares have soared from £5 in mid-November following the announcement of the group's latest financial results and the acquisition of two more companies.

Adjusted pre-tax profits rose by 27 per cent to £12.8 million during the six months to September 30 2019. It came on the back of revenue growth of 29 per cent to £86.9m.

Based in Belfast, Kainos employs around 1,600 people in 12 locations across Europe and North Amcerica.

Last year it confirmed a £7m deal to buy the former Movie House Cinema on Belfast's Dublin Road. The site will become the IT firm's new headquarters.

Kainos currently employs around 700 people in Belfast, spread across nine different sites in the city.

In November, the firm's chief financial officer, Richard McCann, raised £8.7m from the sale of some of his shares. The 1.5 million shares were sold at a price of £5.30 per share.

The same deal could have been worth £12.6m yesterday.

Mr McCann's remaining shares are now worth around £39m

Kaino's biggest shareholder remains its chief executive Brendan Mooney, who owns an 11.88 per cent stake in the company. His share reached a value of around £120m during Friday's peak price of £8.44.

The group's share price eased slightly towards £8.30 on Friday afternoon, around the same price it closed on Thursday.

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