The iconic Brighton Palace Pier's parent company, Brighton Pier Group, has seen its shares plummet as it becomes the latest entity to announce intentions to go private. Brighton Pier Group, which also operates a string of bars and mini-golf sites, intends to withdraw from London's junior Aim market, causing its shares to nosedive by nearly 60% on Wednesday morning.

Chaired by ex-Pizza Express chief Luke Johnson, the group cited a "careful review of the benefits and drawbacks" of being publicly listed as the reason behind its move. The company is convinced that delisting at the "earliest opportunity" would serve the "best interests of the company and the shareholders as a whole." Shareholders will vote on the proposal at a meeting on April 22. If given the green light, the delisting is expected to take effect on May 2.

This development adds to the woes of the Aim market, which has witnessed a spate of company withdrawals in recent years; 92 firms exited last year alone.

Following in the footsteps of Mike Ashley-supported Hornby, which announced its departure from public trading last month citing regulatory burdens and costs, Brighton Pier Group pointed to "disproportionate" annual expenses of £250,000 to £300,000 for maintaining its listing, share illiquidity, price volatility, and shifts in the small-cap market since its 2013 IPO as factors influencing its decision.

Brighton Pier Group has announced its intention to go private, citing a desire for increased agility and quicker decision-making. The company highlighted the harsh trading environment and escalating costs as key factors in this strategic shift.

The statement read: "Over the past several years, the company has faced persistent challenging trading conditions, impacted by, inter alia, Covid-19, repeat bad weather during peak summer trading periods, recent significant Budget increases in National Insurance to commence from 6 April 2025, pressures on consumer discretionary spending and a change in consumer behaviours."

In response, Brighton Pier Group has been concentrating on "cost savings, disposals of underperforming assets and health of the balance sheet, limiting its ability to invest in growing the business".

The group confirmed that its financial results for the year ending December 29, 2024, met expectations. It also noted a boost in recent trade thanks to last month's favourable weather conditions.

It was reported that March's improved weather, along with the new £2 entry fee for non-residents, contributed to a £100,000 increase in total sales at the Pier, reaching £1.8 million for the year to date.

However, the bars and golf divisions have experienced a sluggish start to the year, with total sales standing at £1 million and £1.4 million, respectively, marking a £100,000 decrease from the previous year for each division.