Is AIM missing the target?

(By Anthony Miller – Friday 15th March 2009 9:30am). A trading update from AIM-listed medical imaging software supplier, Medicsight, highlights again the question of who should list on public markets and who shouldn’t.

Medicsight listed on AIM in June 2007 when its parent, MGT Capital Investments, placed 29m shares at £1.10 raising net £30m. This valued the company at £171m. Not bad for a business with zero revenues and £5m losses! US-based MGT is a publicly quoted technology holding company that invests in the global healthcare IT market.

Medicsight’s results today show Q1 revenues of £43k (thousand) and £2.5m (million) losses. As I write, Medicsight’s shares are worth 8.5p. All I can say is that must have been one hell of a roadshow back then!