African Barrick Gold, a spinoff company of Canadian miner Barrick Gold Corp., on Friday revealed to raise £581 million ($885.4 million) in an initial public offering on the London Stock Exchange following the pricing of 101 million shares at 575 pence.

The company had planned to sell 25 percent of the unit at 550 to 650 pence a share, keeping the remaining with itself. The stock registered a fall of up to 4.5 percent.

The deal is revealed to be the biggest IPO in London since New World Resources listed one in May 2008, reflecting boosted investor sentiment and market scenario since a spate of floats failed to complete in February.

"Gold stocks are under a little bit of pressure today with the stronger dollar and weaker gold price", quoted Charles Cooper, an analyst at Oriel Securities Ltd. in London.

African Barrick Gold currently owns four gold producing mines in northwest Tanzania, Bulyanhulu, Buzwagi, North Mara and Tulawaka, outputting nearly 716,000 ounces last year.

Based on a starting market capitalization of £2.32 billion, African Barrick Gold could be a potential candidate for entry into the FTSE 100.