Partnership Brings Forward London Stock Market Debut-Sources

Private-equity backed life insurer Partnership Assurance Group has brought forward its planned London stock market debut, sources told Reuters, indicating it has received strong demand for the shares.

(Reuters) – Private-equity backed life insurer Partnership Assurance Group has brought forward its planned London stock market debut, two people familiar with the matter said, indicating it has received strong demand for the shares.

The British company, majority owned by private equity firm Cinven, began taking orders for its initial public offering (IPO) a week ago and had originally planned to make its market debut towards the middle of the month.

It will now close order books for the offering on Thursday and will begin trading on the London Stock Exchange on Friday, the people said.

Partnership offered its shares at between 325 pence and 400p each and received enough orders for all the stock on sale by the end of the first day of bookbuilding, one of the people said.

That values the company, in which Cinven bought an 80 percent stake for 200 million euros ($260.6 million) in 2008, at between 1.3 billion pounds ($2 billion) and 1.6 billion.

Partnership, which provides annuities that pay more to customers with medical conditions as well as insurance to fund long-term residential care, plans to raise 125 million pounds from the sale of new shares to pay down debt.

Cinven and the company’s management will also be selling around a quarter of their holdings.

A spokesman for Partnership declined to comment.

Bank of America Merrill Lynch and Morgan Stanley are running the sale.