Ready meals firm Bakkavor prepares for London listing: Reuters

Ready meals supplier Bakkavor said on Tuesday that it plans to list at least a quarter of its shares on the London Stock Exchange in early November, in a deal that sources say could value it at up to 1.5 billion pounds ($1.97 billion).

The company, which counts Marks & Spencer, Waitrose and Tesco as major customers, said it aims to raise around 100 million pounds ($131.68 million) from issuing new shares and will also sell part of the stakes held by U.S. hedge fund Baupost and Icelandic founders Agust and Lydur Gudmundsson.

Bakkavor, which said it is using the IPO to reduce its leverage, generated revenues of almost 1.8 billion pounds and pre-tax profits of 63.1 million pounds last year.

HSBC and Morgan Stanley are leading the process. Barclays, Citigroup, Rabobank and Peel Hunt are also working on the deal.