Pension consolidator PensionBee is looking to float on the London Stock Exchange in a move which will see it valued at £300m or more, according to reports.
According to The Times, the digital consolidator is seeking bank advisers for the float and plans to make an appointment before Christmas.
Romi Savova, founder and chief executive of PensionBee, told the paper that strong performance in recent months had accelerated plans to turn PensionBee into a public company, and said it was “actively exploring a listing”.
The float will be structured so that it qualifies for the LSE’s high-growth segment of listed companies.
This is only available to companies with an expected market value of £300m or more but Ms Savova told The Times that, based on previous funding rounds, PensionBee was “in that ballpark”.
PensionBee allows savers to combine their pensions into a single online plan which they can then contribute and withdraw funds from.
The consolidator is also launching a fossil fuel-free pension, which it claims is the first mainstream product of its type.
The Fossil Fuel Free plan will exclude companies with oil, gas or coal reserves, as well as tobacco companies and manufacturers of controversial weapons.
It will instead invest funds in companies that are aligned with the Paris agreement.
But in order to offer this plan at a fee of 0.75 per cent, the firm said it needs to first receive a £100m commitment from members.
PensionBee stated: “£100m is the fund ‘seed’ amount; the minimum amount needed to launch a new product like this.
“To reach this amount, we’re asking PensionBee customers to commit to switching to the new plan.
“Once £100m has been committed, the fund will launch and everyone will be switched into the new plan.”
amy.austin@ft.com
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