Hastings to list on the stock market

Motor insurance provider Hastings is to float on the stock market as it expands the business in a bid to attract more than 2.5 million customers by the end of 2017.

The company hopes to raise £180m by issuing new shares, while some of its existing shareholders, including the group’s founders, will also sell off a portion of their stake in the business as part of the initial public offering (IPO).

As well as the company’s founders and senior management team, most of Hastings’ 2,000 employees are small shareholders in the business and will be in line for a windfall after the company goes public.

Goldman Sachs is the biggest individual shareholder, owning just under half of the business after buying in for £150m two years ago. The bank will remain the largest investor after the stock market sale.

The listing, which could value Hastings at as much as £1.5bn, is expected to take place in October, enabling the firm to use its strong half-year results announced in August as a springboard to bring in new investors.