Stakes Of FNZ’s Venture Backers Offered For £2bn

Photo by Michael Duxbury from Flickr

According to various reports, HIG Europe and General Atlantic are looking for buyers for their stakes in FNZ, a British fintech software-as-a-service company, to the tune of £2 billion. The said sale that would likely crystallise the place of the firm as one of the most valuable companies in the United Kingdom in its sector.

FNZ was founded in 2004 in New Zealand however, it has its largest office in Edinburgh. The company has its headquarters in London. Sky News reported that the company is looking for possible investment bankers to advise on the majority stakes sale which is anticipated to start at the end of the year.

The said deal could potentially place the value of the business somewhere between the range of £1 billion and £2 billion, however, it is assumed that FNZ would settle closer to the higher end of the said range.

Lord Leitch, the former deputy chairman of Lloyds Banking Group, serves as the chairman of FNZ. It provides the technology platforms that are used by wealth management companies. It counts blue-chip British financial services groups such as Barclays, HSBC, Aviva, and some other major names in its pool of clients. It has developed rapidly in the recent years amid the growing demand for specialist technological expertise and tougher regulatory requirements that are imposed for wealth managers.

Both HIG Europe and General Atlantic own stakes that are equating to one third each in the firm, while the remaining third is owned by the management team of FNZ that is led by Adrian Durham, its chief executive. Sources said that Durham, together with his colleagues were not planning to sell significant chunks of their shares. The ownership stake of the company is expected to continue to be more-or-less untouched throughout the sale process, because of a desire to achieve long-term growth.