Counting the cost of floating

Feted as heroes by the City one week, castigated the next. These are the swings and roundabouts of flotation. In a week which has seen ASOS fall from grace, there is little to smile about at Boohoo where shares had fallen from a high of 85p from float at 50p down to 45p,  or at AO.com either.  The cost of the AO float – some £15 million – has led to the business declaring a pre-tax loss for the year of £7.6 million, against a profit of £8.1 million for the year prior. Total sales at AO including its white label business were £384.9 million, with direct web sales accounting for £287.1 million. Shares in the business which floated at 285p fell to 248p on release of the year’s results.