The London Stock Exchange attracted more overseas listings than ever as its main market enjoyed its highest number of flotations since 2000.

A record 129 international companies from 29 countries ? including 11 based in Bermuda ? listed on its markets. That was an 82 percent increase on 2004 when just 71 companies listed and 2003 when just 23 international companies listed.

The Alternative Investment Market (AIM) ? the international market specifically designed for smaller, growing companies ? had a record year, with 494 new issues. Twenty-one Australian companies dominated the influx from abroad followed by 18 firms from Ireland and eleven each from Bermuda, Israel and the US.

Bermuda-based Lancashire Holdings Limited ? the parent company of 2005 Bermuda start-up Lancashire Insurance Company ? topped the IPOs on AIM this year, raising approximately $942.6 million or ?546.7 million. Lancashire Insurance Company Ltd - which is being launched by former Lloyd?s underwriter Richard Brindle and is backed by private equity firm Capital Z together and Moore Capital was licensed by the Bermuda Monetary Authority in October .

Another company, Energy XXI Acquisition Corp (Bermuda) was the third highest IPO of the year on AIM raising $295.8 million or ?171.6 million.

The LSE said that a survey of the 80 international companies that conducted an IPO on its markets found that 77 per cent listed access to capital as the principal reason for their decision to go public while 89 per cent of the companies surveyed said they were satisfied with the price they achieved on flotation.

According to the survey, 27 per cent of respondents identified London?s liquid international trading market as the most important factor in their company?s decision to float on the Exchange?s markets. This was closely followed by the UK?s standards of regulation and corporate governance, analyst coverage and access to emerging market institutional investors.

Of the companies that considered listing on an American exchange, ninety percent said that the demands of the new Sarbanes Oxley corporate reporting regulations ?made listing in London more attractive?.

More than half of the international companies appointed a UK based non-executive director in preparation for their London listing. Martin Graham, the Exchange?s Director of Market Services and Head of AIM, said:

?The results of the survey demonstrate that world-class international companies select a London listing to access our deep pool of international capital and to be part of one of the world?s most liquid international trading markets.?