INSURER Pearl Group is to float on the Stock Exchange and seek acquisitions. It unveiled a capital-raising and debt refinancing plan  today.

Privately-held Pearl will sell itself to Euronext-listed takeover vehicle Liberty Acquisitions, which will provide £510m of new capital.

Liberty shareholders will own 60 per cent of the new company, which will change its name to Pearl and seek a listing on the LSE ‘as soon as practicable’, the two companies said.

Pearl’s proposed transformation would put it in direct competition with quoted bid vehicle Resolution, reigniting rivalry between Pearl backer Hugh Osmond and Resolution founder Clive Cowdery.

Under the deal, Pearl’s current investors – Osmond’s Sun Capital and buyout firm TDR Capital – will be left with 29.5 per cent of the company.
The remaining 10.5 per cent will go to Pearl’s banks and other creditors.