Oxford-educated trio are in line for a £70m profit as they float their £2bn lender Funding Circle 

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Oxford-educated trio are in line for a £70m profit as they float their £2bn web-based lender Funding Circle

  •  Funding Circle is hoping to raise £300m in the share listing
  • The firm is among a growing band of web-based ‘peer-to-peer’ lenders
  • It has lent more than £5bn to 50,000 small firms and employs around 1,000 staff

Lucy White City Correspondent For The Daily Mail

Three Oxford-educated entrepreneurs in their 30s could make almost £70million between them when their online lending business floats in a deal expected to value it at around £2billion.

Funding Circle is hoping to raise £300million in the share listing, which it plans to use to help boost its advertising.

The firm is among a growing band of web-based ‘peer-to-peer’ lenders, bringing together small and medium companies which need finance with savers who can earn returns of 4.6per cent-7.6per cent.

Funding Circle is hoping to raise £300million in the share listing, which it plans to use to help boost its advertising

Funding Circle is hoping to raise £300million in the share listing, which it plans to use to help boost its advertising

Funding Circle is hoping to raise £300million in the share listing, which it plans to use to help boost its advertising

Funding Circle has lent more than £5billion to 50,000 small businesses and employs around 1,000 staff, who own 10per cent of the business. The rest is held by venture capital firms.

Chief executive Samir Desai – who founded the business with James Meekings and Andrew Mullinger in 2010 – owns around 7per cent. 

Meekings, the UK managing director, holds 5per cent and Mullinger, who stepped back from his day-to-day responsibilities at the company in 2016, owns around 4.5per cent.

The three 35-year-olds will each have the opportunity to sell a quarter of their stakes, which means they could cash in up to £67.9million between them.

Danish entrepreneur Anders Povlsen, the largest shareholder in online fashion giant Asos, will take 10per cent of the shares in the float, acting as its ‘cornerstone’ investor – one who acts as an anchor by taking a large stake.

Desai said there had been substantial interest and several others had offered to act as cornerstone investors.

‘We really liked that Anders is an entrepreneur,’ he said.  

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