Investors grab a share of Wolfson

Tech flotation is the first in the UK for three years

Wolfson Microelectronics made its debut on the London Stock Exchange (LSE) last week - the first technology flotation in the UK in the last three years.

The Edinburgh-based firm designs processors for a range of consumer electronics devices, including an analogue to digital converter used in Microsoft's popular Xbox gaming console.

The company hopes to generate £25m in capital through its listing to fund new product development, with plans to extend its product range from 50 to 70 offerings, as well as increasing its sales and marketing efforts.

Since the initial listing, the company has made strong gains, settling at around 246p with a market capitalisation of around £250m.

Just one week before, US-based chip designer Cirrus Logic filed a lawsuit against the company alleging that its chips breached two of its patents, but chief executive David Milne insists the claims are groundless.

Wolfson Microelectronics was among the most active stocks on an otherwise slowly traded technology sector last week, with the Computing 30 share index inching up only one point to 147.

Over the past six months, the Computing 30 has risen 47 per cent, substantially outperforming the FTSE 100 index.