Tek4, a Leicestershire-based aerospace drilling company, is preparing to list on the London Stock Exchange’s AIM market later this year in a move that could bolster the exchange’s appeal to defence sector firms. The company aims to raise £20 million through its initial public offering, targeting a valuation of around £40 million.

Specialising in the design and manufacture of drilling machines for aircraft and gas turbine components, Tek4 has established a client base that includes major industrial players such as Rolls-Royce and General Electric. The business is led by Jason Duffin, who brings four decades of experience to the role.

Tek4 has seen a significant rise in sales over the past year, a trend its leadership attributes to increased demand stemming from ongoing conflicts in Russia and the Middle East. To support this growth, the company is investing in expanded production capabilities, with a new factory currently under construction near its headquarters in Leicestershire. This facility is expected to increase manufacturing capacity by 80%.

The IPO is being managed by Panmure Liberum, the appointed lead bankers for the offering. Market observers note that the listing could provide much-needed activity on the London Stock Exchange following a period marked by fewer new listings and a notable number of acquisitions.

Tek4’s forthcoming public debut reflects broader trends in the aerospace and defence sector, where geopolitical tensions continue to drive demand for specialised manufacturing solutions. The company’s growth trajectory and upcoming capital raise position it as a noteworthy entrant among defence-related firms seeking public investment on UK markets.