Norkom, the Dublin-based software company, will raise €21 million and have a market capitalisation of €100 million when it lists on Dublin's IEX and London's Aim markets on Monday.
The company will list its shares at a price of €1.24, with net proceeds of €18.4 million to flow back into its balance sheet to help fund acquisitions. It already has €10.5 million in cash to hand, with deals in North America likely to be a particular focus for acquisition.
Norkom had initially discussed raising up to €30 million in the listing but this was lowered to €21 million after fewer existing shareholders elected to sell.
Cecil Hayes, Norkom's chief operations officer, said it was a matter of the shareholders deciding to "demonstrably show confidence in the business".
As it stands, existing shareholders such as management and staff are raising €1 million in a secondary placing, with the remaining €20 million coming from new shares being issued.
Mr Hayes said the firm had conducted a "fantastic roadshow" in cities such as London, Paris and Amsterdam.
The selling shareholders include Paul Kerley, Norkom's founder and chief executive, who will raise €200,000 before expenses. Kilian Colleran, chief technical officer, and Liam Griffin, chief commercial officer, will each raise the same amount.
Management and staff will retain about a third of the company after their stake is diluted in the listing.
A number of high-profile individual shareholders owning smaller blocks of shares, including Denis O'Brien, Shane Reihill, Gavin O'Reilly and Kieran Nagle, have chosen to retain their full holdings, although these will also be diluted.
Trinity Venture Capital, the venture capital vehicle of the Reihill family, has a 37 per cent interest in Norkom before the listing but this will fall to 31.09 per cent after Monday.
New shareholders have been drawn from a number of European markets, with Norkom likely to market itself to US investors when the listing has been completed.
Almost 40 per cent of the company will be in freefloat, with shareholders representing 61.8 per cent, including Norkom staff and Trinity Venture Capital, locked in for 12 months.
Monday's listing marks Norkom's second attempt at an initial public offering, with an earlier move in late 2000 stymied by the bursting of the dotcom bubble. At that stage, analysts were valuing the operation at €200 million.
Since then, the firm has changed its fundamental focus, moving from a concentration on CRM software towards an expertise in compliance software. Its principal clients are financial institutions which fall prey to daily attempts at fraud.
Norkom's technology is designed to instantly identify suspect transactions and then assist investigations into them. The company does the bulk of its business abroad, counting organisations such as HSBC and Travelex within its client base.
