Premium Credit, a specialist finance group backed by Electra Partners Europe, is expected to list on the London Market in the final quarter of 2003.
The company, a leading provider of premium finance with more than 40% of the UK market, could be valued at between £150m and £250m. This is likely to make it one of the largest new issues on the London Market this year.
Although its largest market is insurance, Premium Credit is also expanding into sports and leisure membership, school fees and professional fees.
HSBC sold Premium Credit to a management buy-out team backed by Electra in 1996 for €320m (£223m). The company, which is based in Epsom, Surrey, has grown profits to £21m in 2002 from £6m in 1999. It employs nearly 300 people.
Although flotation is considered to be the likely outcome, Electra might consider an alternative exit.
