A decision by the Island's leading telecoms provider to float on the Alternative Investment Market will mark a new chapter in the company's history, says chief executive officer Mike Dee.

Manx Telecom expects to raise ?156.3million by listing on AIM and says its initial public offering has been 'signifcantly oversubscribed'.

Shares are being sold at 142p each and the existing owners, HgCapital Partners and CPS Partners, are selling all of their interests in the company.

Making the announcement today, Mike Dee said: 'We are delighted with the interest received from institutional investors during the marketing exercise which will provide a solid and supportive shareholder base for the future. The oversubscription for the shares is testament to the quality and hard work of our employees, and I would like to thank all of our people for their tireless commitment to the company.'

Manx Telecom states the proceeds of the placing will be used to repay 'all outstanding senior debt and loan notes' to strengthen the balance sheet ahead of future growth.

Mr Dee said: 'We are a well-established business with strong ties to the Isle of Man and a reputation for excellent customer service, operating on an Island with a resilient, growing and affluent economy. The business is well placed to take advantage of further on-Island growth opportunities, due principally to demand for 4G, faster broadband and data hosting services. Expansion will also be driven by growth in off-Island services based on Manx Telecom's mobile technology platform.'

There'll be more coverage of today's announcement later on MTTV.