A Bradford-based business which is set to float on the Alternative Investment Market (AIM) will raise £4.5 million - rather than the £3 million it expected.

PM Group Plc, which designs and manufactures weighing systems for the bulk haulage and waste management industries, will see dealing begin on May 2.

The firm's admission to AIM has generated so much interest in the City and Scotland that the firm has raised an unexpected extra £1.5 million.

Geoff Mountain, company founder and chief executive, said: "We are delighted with the excellent response the PM Group flotation has received from the investment community, and we are looking forward to taking the business into what we believe is a very exciting future."

Williams de Bro, the nominated adviser and broker to the flotation, is placing 4,500,000 ordinary shares at 100p per share for the firm.

The placing price of 100p per share will give PM Group a market capitalisation of £12.5 million and raise the £4.5 million for the firm.

PM Group, which consists of PM On Board, PM Electronics, Fleet Weighing Services, PME France and PM Benelux, has developed its product and service range over the last 15 years.

The firm was founded in 1985 by Geoff Mountain and David Pitts to supply imported on board vehicle weighing systems to the UK tipper market.

The Group now designs and manufactures its own range of products for a variety of applications.

The firm has established a strong presence for its on board vehicle weighing systems in the UK bulk haulage market and its directors are set to propose further expansion in the bulk haulage sector in mainland Europe.

Apart from additional product introductions, the directors believe the main area of expansion for the business will be into the waste management market.

On board vehicle weighing technology is creating a new and rapidly growing market opportunity across Europe and the firm believes the targeting of key players in the waste management sector, which has already proved successful, will further boost sales.

In the six months to December 31, 2001, PM Group made around 63 per cent of its turnover (£2.1 million) in the bulk haulage market and around 37 per cent (£1.2 million) in the waste management market.