Virgin Money announced details of its long-awaited stock market flotation yesterday which will see £50m returned to the taxpayer following its agreement to buy Northern Rock in 2011.
Shares in the lender, which provides mortgages, savings and credit cards to 2.8 million customers, are expected to begin trading this month. The business is reportedly expected to be valued at up to £2bn.
Each employee will be awarded £1,000 worth of shares on flotation.
Chief executive Jayne-Anne Gadhia said: “We are delighted to be announcing our intention to float Virgin Money.
“Over the last three years we have transformed our business. 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.
“In addition, and in recognition of their hard work to-date and their contribution to the future value of the business, I am also delighted to announce that each employee will be awarded £1,000 worth of shares in the business upon flotation.”
The bank bought former failed lender Northern Rock from the Government for an initial £820m.