Companies: PMK   

Simon Brickles, chief executive of AIM-quoted PLUS Markets Group, is preparing a remorseless cull of corporate advisers and companies seeking introductions to the share market it operates.

PLUS, which quotes 189 smaller companies worth a combined £2.7 billion, has already seen some 25 advisers out of around 90 pull out after it doubled their fees last year and Brickles plans to intensify the pruning process.

‘It is no longer about quantity, but quality,’ insisted Brickles, who was intent also on weeding out and rebuffing flakier companies seeking new or continued quotation. ‘People say I won’t be as tough as I could be, but they are making a big mistake,’ he warned.’

PLUS increased corporate fees by 20 per cent recently and another hike is imminent. Fee rises and regulatory toughening are two means by which Brickles, a former head of AIM, means to signal he is tightening up.

The next move could coincide with a decision by the Financial Services Authority on PLUS’s application to become a Recognised Investment Exchange, which is expected in the next few months.

PLUS, which also offers a trading platform for 850 London Stock Exchange companies, including 50 from the FTSE 250, undoubtedly has significant further pruning to do to convince sceptics. Brickles promises to deliver.