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AIM's Billion-Pound Club Hits Nine-Year Low 📉

Writer's picture: PlutoPluto

London’s AIM market is grappling with a significant decline, as the number of companies worth over £1 billion has fallen to just six—the lowest since 2015. This marks a sharp drop from the 30 firms at the end of 2021.


Contributing to this contraction, seven of these firms were acquired, three moved to the main market, and the remainder saw valuations drop due to challenging conditions.


Number of AIM Companies Worth More Than £1 Billion

Year

Number of Companies

2024

6

2023

11

2022

15

2021

30

2020

24

2019

16

2018

9

2017

16

2016

7

2015

4

The broader picture for AIM isn’t encouraging either. The total number of listed companies has fallen to 688—the lowest since 2001—while IPO activity in 2024 hit near-record lows, highlighting the struggles of the junior market as it marks 30 years since its launch.


With heightened competition from global exchanges and weak investor sentiment, AIM faces an uphill battle in regaining its former vibrancy.


Source: AJ Bell, LSE

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