Private equity firm Pollen Street is weighing a sale and has begun talks with potential suitors, the company confirmed today, in what could be the latest of a wave of takeovers to hit the London Stock Exchange this year.
The London-listed investment house, which counts lenders Shawbrook and Bunq among its portfolio, said its board had begun considering its “strategic options” including a potential takeover.
“The company confirms that it has initiated preliminary discussions with a limited number of third parties to establish their suitability as a strategic partner and whether they might be interested in making a possible offer for the Company,” Pollen Street said in a statement. “These discussions are at a very early stage and remain ongoing.”
Pollen Street manages some £8.4bn and had a market capitalisation of around £490m prior to initial reports it was considering a sale. Shares in the firm bounced over 16 per cent on Wednesday following the company’s confirmation it had begun reviewiging its options.
Analysts and advisers have predicted a wave of consolidation among private equity investors as the industry grapples with a slowdown in deals and a backlog of assets. Dealmaking has slowed dramatically following a boom in 2021 and investors have been left unable to exit some of their investments.
Pollen Street’s potential buyers include mid-sized private equity firms as well as existing shareholder Wafra, which bought a minority stake in the business in 2020 through its investment platform Capital Constellation, Reuters reported, citing people familiar with the matter. Wafra declined to comment when approached by Reuters.
Shares in Pollen Street had fallen nearly 12 per cent prior to initial reports from Reuters that the company was exploring its options. It grew operating profit to £64m in 2025, from £58m a year earlier.
A takeover of the company will mark the latest exit from the London Stock Exchange following a spree of takeovers this year. As of the 1st September, London-listed companies worth some $132.5bn had been taken private compared to $48.2bn at the same time last year.
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