Online investment platform and broker AJ Bell today confirmed plans to float in London next month in a listing that could value the company at up to £500m.
The float gives major shareholders Invesco Perpetual and chief executive Andy Bell an opportunity to sell down their stakes in the business while widening AJ Bell’s shareholder base.
Invesco holds a 44 per cent stake which it is expected to sell down to around 25 per cent, while Bell holds 28 per cent of the business and is expected to retain 25 per cent post-admission.
The company said the float would enhance AJ Bell’s brand, extend its shareholder group, assist in recruitment and incentivisation and help with its growth strategy.
AJ Bell customers in the UK can apply for shares via the company investment platform, with a minimum tranche of £1,000.
Following admission AJ Bell plans a free float of at least 25 per cent of the company’s stock.
The directors and employees of AJ Bell who are selling their shares will be subject to a one-year lock-in following the date of admission with regard to 100 per cent of their shareholding at admission and a further year lock-in regarding 50 per cent of their shareholding
Numis is acting as sponsor, financial adviser, broker and sole bookrunner.
The price range of the float will be released in AJ Bell’s prospectus with the final offer price determined in the run up to the listing.
AJ Bell's revenue soared nearly 20 per cent in the year to September, with revenue growing 19 per cent to £89.7m and pre-tax profit rising 31 per cent to £28.4m.