Seymour Pierce in talks with suitors

Seymour Pierce, the mini investment bank, is in talks with potential suitors who are thought to include the entrepreneur Nigel Wray and the venture capitalist Jon Moulton.

The bank yesterday announced it "was in discussions with a number of parties" following rumours that it was trying to sell all or part of its business.

Mr Wray, a property tycoon and a non-executive director of Seymour, is said to be the most interested party, and has been backed by Mr Moulton, the chief executive of the venture capitalist Alchemy Partners.

Mr Wray owns 24 million shares in Seymour, 3.3 per cent of the company. Seymour shares rose 24 per cent to 6.5p on the statement. Mr Wray is thought to have offered a provisional 8p a share or more.

There has also been interest in Seymour's fund management arm, Pavilion Asset Management, which runs about £3bn on behalf of MGM Assurance and various friendly societies.

Last month Seymour said it was reviewing its strategic options. Its core corporate broking business has been hit by the downturn in fortunes of its small, mostly technology-based, clients.

Its rivals including Teather & Greenwood and Collins Stewart have also suffered severely due to the market slump, triggering sales talks.