Windfalls: Peel Hunt’s initial IPO would make chief exec Steven Fine (pictured), and several staff, into multi-millionaires on paper
City broker Peel Hunt plans to float on the stock market, netting a windfall for its bosses and staff.
The firm could be valued at between £270m and £300m when it begins trading on London’s junior market, AIM, this month.
The initial public offering (IPO) would make Peel Hunt’s chief executive Steven Fine, and several staff, into multi-millionaires on paper.
Around half of the broker’s 250 staff and directors together own 68 per cent of the company. A large chunk is held by Fine, who led the management buyout of Peel Hunt from KBC bank in 2010.
The rest is owned by a group of private investors, including insurance entrepreneur Neil Utley.
It is understood that management and staff only plan to sell a small number of shares, to cover tax liabilities as the business transitions from a partnership structure to a public listed company.
The IPO comes after a stonking year for brokers, who raked in fees as they helped companies raise money during the pandemic last year and are benefiting from a surge of firms deciding to list.
Peel Hunt, which provides advice and investment banking services to small and medium-sized firms, also plans to issue new shares to raise money for its expansion.
It wants to establish a presence in Europe, boost investment in its technology, and increase the amount of cash it must hold to fulfil regulatory requirements.
Employees and retail investors, through Peel Hunt’s Rex technology portal, will together be able to buy up to £6.8million shares through the float.
Fine said: ‘The IPO allows us to accelerate our growth plans, building on the strong momentum in our business.’
The firm has appointed Lucinda Riches, former UBS head of equity capital markets, to its board, to succeed chairman Simon Hayes next year.
