Virgin Money to float on stock exchange

The bank aims to raise around £150m from the floatation to fund growth plans and to recruit and retain top staff.

Once the company is listed, it will pay £50m to the Treasury to settle what it still owes after buying Northern Rock plc in late 2011.

Jayne-Anne Gadhia, Chief Executive Officer of Virgin Money, said:

“We are delighted to be announcing our intention to float Virgin Money. Over the last three years we have transformed our business. We have expanded our product range, increased our customer numbers, grown our balance sheet and enhanced our profitability. Our decision to take the business public marks just how far the Company has come."
 

"We look forward to being a listed company and remain committed to delivering positive outcomes for all of our stakeholders. Our capability to deliver growth at meaningful scale, the quality of our balance sheet and our absence of legacy issues makes us stand apart from other banks, and these strengths give us the potential to deliver ongoing returns to our shareholders through both capital growth and progressive dividend payments.

"In addition, and in recognition of their hard work to-date and their contribution to the future value of the business, I am also delighted to announce that each employee will be awarded £1,000 worth of shares in the business upon flotation.”

Sir David Clementi, Chairman of Virgin Money, said:

"I am pleased we have reached the point where Virgin Money is ready to start life as a listed company. We have built a safe, sound and secure bank supported by a strong Board.  The Company has an extremely positive future and I am delighted the business is in such a good position.”