Pension consolidator PensionBee is considering to float on the London Stock Exchange, which it says will allow it to invest in future growth.
In an announcement this morning (March 23), the firm said it planned an institutional offering as well as an offer for existing customers, with shares to be admitted to the high growth segment of the London Stock Exchange's main market.
This is only available to companies with an expected market value of £300m.
PensionBee said more than 8,000 eligible customers have registered so far to be able to participate.
Romi Savova, chief executive officer of PensionBee, said the prospective IPO will enhance the firm’s ability to invest in future growth.
Savova said: “It was always our plan to offer our customers a chance to participate in the IPO and we are thrilled to be giving them the opportunity to share in our next phase of growth."
She added: “Our rapid growth to date has been fuelled by customers being attracted to our leading combination of proprietary technology and customer service, and our commitment to putting our customers first.
“Our mass market appeal, combined with the increasing transition to digital and the ever greater need for financial well-being, leaves PensionBee well positioned.”
PensionBee helps savers consolidate their pensions.
The firm was founded in 2014 by Savova and chief technology officer Jonathan Lister Parsons, to simplify pension savings in the UK following a difficult pension transfer experience for Savova using traditional platforms.
The firm has about 130,000 customers and £1.5bn of assets under administration.
It said its core target market amounted to 40.8m non-workplace and dormant workplace pension pots. The firm estimates each consumer has approximately 2 pots, therefore there could be 20.4m individuals within this market.
PensionBee first signalled its intentions to float back in November.
Mark Wood, chairman of PensionBee, said: “This is a key milestone for PensionBee. Transparency and strong corporate governance are key aspects of an IPO and are core to our strategy of becoming the best universal online pension provider.
“I see significant market opportunities ahead for PensionBee - with a clear acceleration of the structural shift to online services, PensionBee is well-positioned to execute against its growth ambitions while continuing to fight for the consumer."
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