Stocks lifted as much as 13.5 per cent in afternoon deals when Qantm Intellectual Property floated on the ASX this week. Comprised of IP firms Davies Collison Cave and Herbert Smith Freehills spin-off Freehills Patent Attorneys, Qantm made its debut on Wednesday with a market cap of A$331m at A$2.2 per share, representing a valuation 16.5 times greater than earnings per share. Qantm chief executive Leon Allen has described the listing as an ‘exciting milestone’ for the businesses that will deliver ‘increased financial flexibility to pursue selective and complementary acquisitions and to retain and attract high-quality people.’

‘Not a law firm’

Despite the buzz, Qantm is still at pains to distance itself from fellow ASX-listed legal outfit Slater & Gordon, whose woeful financials are still making headlines around the globe. Describing Slater & Gordon as an ‘events driven’ law firm, Mr Allen says Qantm is a steady and predictable business with a reliable pipeline. ‘We’re a great cash conversion business, with invoices going out all the time,’ he said. ‘We are not a law firm. We’re a pipeline business and we’re a predictable business.’

Sources: Australasian Lawyer; Australian Financial Review