Aldermore has cancelled its plans to launch on the London Stock Exchange following a recent decline in global equity markets.
The FTSE 100 index has fallen by 6.09 per cent in the past month and, as a result, the challenger bank has decided not to go ahead with its IPO, which was due to launch this month.
In a statement to the LSE, Aldermore says: “Due to the deterioration of global equity markets, Aldermore’s board and shareholders have elected not to proceed at this time with the IPO of Aldermore.
“Aldermore continues to perform strongly, with excellent organic loan growth and a proven track record of delivery through its digital platform. AnaCap, as a long-term investor, will continue to support the next phase of its development.”
The bank had hoped to raise £75m in new capital through the share listing, which it hoped would value the company at £800m.
Virgin Money is also close to launching its own flotation, which could value the lender at up to £2b. Following Aldermore’s announcement, a spokesman for Virgin Money says: “We are still pursuing our IPO and are engaging with investors.”