By Kristy Dorsey

The stockbroker behind last year’s flotation of Scottish technology firm Calnex has reported a 188 per cent surge in underlying profits following an increase in fundraising activity last year.

Neil McDonald, head of the Edinburgh office of Cenkos Securities, said the firm is also “actively talking to a number” of potential IPO candidates based in Scotland, including privately-owned and equity-backed companies. While the October admission of Calnex shares to the Alternative Investment Market (AIM) was the first flotation of a Scottish company in more than two years, Mr McDonald said there are signs of increasing interest in the option of a London listing.

READ MORE: Calnex ends the drought of Scots flotations

“I think we could see activity pick up,” he said. “It has certainly been a frustration that there have not been more IPOs out of Scotland.”

His comments came as Cenkos, the UK’s only institutional stockbroker offering the full range of services in Scotland, reported a 23% increase in revenue to £31.9 million last year. The rise was driven by increased fundraising on behalf companies in the second half of the year.

In total, Cenkos said it raised £900m for clients across 29 transactions, compared to £700m across 25 transactions the previous year. Most of this activity was linked to funding acquisitions or new growth opportunities.

READ MORE: An ‘accidental entrepreneur’ taking Calnex up the ranks

Pre-tax profit soared to £2.3m, versus £100,000 previously.

Cenkos said its current business pipeline is “healthy”, leaving it well positioned to grow its operations. The firm employs eight of its 88 staff in Edinburgh, with the rest based in London.

It has also made several senior management changes, with the appointment of Lisa Gordon as chairman and that of Julian Morse as chief executive, both subject to regulatory approval from the Financial Conduct Authority (FCA). Mr Morse replaces Jim Durkin, who announced his impending retirement in December.