9th Oct 2015 17:35
LONDON (Alliance News) - Hastings Group Holdings Ltd on Friday said its initial public offering has been priced at 170 pence per share, meaning the motor insurer is expected to join the London Stock Exchange valued at GBP1.12 billion by market capitalisation.
The offer is expected to raise about GBP210 million, which would rise to GBP231 million if the over-allotment option is exercised.
Hastings said it expects to receive GBP182 million of the gross proceeds from the offer, in line with the company's target.
The offer is equivalent to an 18.8% stake in the motor insurer, a percentage which rises to 20.7% assuming the over-allotment option is exercised in full. The initial 123.5 million shares being sold under the offer measure up against the total 657.2 million shares to be in issue.
Goldman Sachs, other founders and the company's management are currently the main shareholders in Hastings.
"We are pleased to welcome our new shareholders to Hastings as we embark on the next exciting chapter for our business. I am proud to lead a great team of 2,000 colleagues. As a listed company we will continue to deliver refreshingly straightforward insurance for our customers and seek to continue our path of profitable growth," Chief Executive Gary Hoffman said in a statement.
Conditional dealings in the company's shares are expected to begin on Thursday next week.
By Samuel Agini; [email protected]; @samuelagini
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