Virgin Money to raise Â£150m in Â£2bn float
Virgin Money, which has a base at Norwich Business Park, is set for a £2bn float on the London Stock Exchange and expects to raise approximately £150m from the listing.
The bank, which opened the first Virgin Money Lounge in the city, said the float will support its growth plans, give it access to a wider range of capital-raising options and improve its ability to recruit and retain key management and employees.
As well as being used for "general corporate purposes", £50m of the money raised will go directly to HM Treasury in order to pay off what it owes following its acquisition of Northern Rock.
The float is expected to take place in October 2014.
Jayne-Anne Gadhia, chief executive officer of Virgin Money, said: "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."
Each of the bank's employees will also receive £1,000 worth of shares in the business upon flotation.
Virgin Money made an underlying profit of £59.7m in the first half of 2014, and serves 2.8m customers from its 75 national stores.