Polypipe considers £400m spring IPO The group, which has 1,900 UK employees, hired investment boutique Moelis in May to explore options for the company after receiving unsolicited takeover proposals. Polypipe had earnings before interest, tax, depreciation and amortisation (ebitda) of £49m last year and turnover of £282m. Since 2009 turnover has grown roughly 10pc. The group's net debt is currently less than two times ebitda. The business intends to use the proceeds from the float to refinance debts and boost its expansion plans in growth areas, such as carbon and water efficiency. A flotation of the group is a further sign of a revival in the construction industry following housebuilder Crest Nicholson's successful float in February. Bankers expect a further rush of construction-tied companies to follow in Crest Nicholson's footsteps. Polypipe was founded in Doncaster in 1980 and made its first London market debut in 1986 before being bought by engineering group IMI in 1999. Plastics expert David Hill, who remains chief executive, led a management buyout in 2005 backed by US private equity Castle Harlan. In 2007 Castle Harlan exited the business after Bank of Scotland provided Polypipe with £186m of high yield bonds, replacing the private equity group's investment. Since Lloyd's rescue of HBOS private equity group Caird manages the portfolio of its legacy equity investments via Cavendish.