View more on these topics

Pearl Group plans £2bn flotation

Pearl Group is aiming for a stockmarket float with a target market capitalisation of around £2bn, after which it intends to pursue acquisitions.

It said last week it was close to a capital restructure that would raise £500m in new equity subject to agreement with its lenders, FSA approval and certain other conditions.

After floating on the London Stock Exchange, Pearl plans to target acquisitions of listed life insurers, which have suffered sharp falls in value recently.

Pearl Group is also giving its 17 lending banks the option of exchanging debt for new debt or equity in a bid to reduce its existing £3bn debt.

The restructure could see Osmond go head to head with old rival Clive Cowdery at Resolution in a competition to acquire assets.

Last month, Pearl Group Holdings, a subsidiary firm that holds bonds issued by Clive Cowdery’s original Resolution before it was taken over by Pearl in 2007, said that it would defer payment of the coupon of the notes. In a statement to the City, the firm blamed market conditions.

Recommended

Europe sees outflows again

European investment funds have slipped back into negative territory after a three-month positive run, according to Lipper’s latest monthly Fund Flash report on the region.The sector saw outflows of €1.7 billion (£1.5 billion) in February driven by negative sentiment in the wake of further government action against toxic debt. So-called “safe haven” funds were the […]

Liquidity alert from Transact

Transact has written to advisers warning them about potential rebalancing problems that can arise in model portfolios when assets become entirely or substantially illiquid.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment