Standard Life makes last push for 'yes' vote

Standard Life, the Scottish life insurer, will make one last push tomorrow to win support for its forthcoming demutualisation, unveiling strong first-quarter profits and urging its members to vote in favour of its stock market listing at its Special General Meeting on Wednesday.

The group is expected to reveal profits in excess of £20m for the first three months of 2006 - a considerable improvement on the same period last year. The group made profits of just £33m in 2005, and is expected to more than double this in 2006.

Members will get their chance to vote on the demutualisation at the SGM in Edinburgh. The chief executive, Sandy Crombie, is hoping that at least one million of the company's 2.4 million members will vote. He will encourage members not just to back the stock market listing, but also to hold on to the shares they receive from the demutualisation, to prosper from the future success of the company.

Members are expected to receive an average windfall payout of £1,700 in shares. The exact size of payouts will depend on how long members have been customers and how much money they have invested with the group.

The management has made strong progress in turning around its flailing business over the past year, pulling away from unprofitable segments of the market and focusing on the most profitable business. Its self-invested personal pension (Sipp) business, which took more than £1bn in new money within just a few months of opening last year, has been one of the drivers behind the company.

The management needs the support of at least 75 per cent of all those that vote to demutualise. If it is successful, it will then look to float during the summer.

However, the board has been concerned about the market volatility of recent weeks and may be forced to postpone the listing for a few months if the UK market continues to lose ground over the coming weeks.

The FTSE 100 fell more than 10 per cent between the end of April and 22 May. Although it recovered slightly towards the end of last week, it is still down more than 5 per cent from its April peaks.

The company is expected to have a market value in the region of £5bn, placing it comfortably within the FTSE 100 index.

Start your day with The Independent, sign up for daily news emails
ebooks
ebooksAn introduction to the ground rules of British democracy
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Recruitment Genius: Sales Assistant / Buyer

£15000 - £17000 per annum: Recruitment Genius: This company offers a range of ...

Recruitment Genius: Customer Service Advisor

£15000 - £16000 per annum: Recruitment Genius: Customer Service Advisors are r...

SThree: Trainee Recruitment Consultant

£20000 - £25000 per annum + OTE £45K: SThree: SThree were established in 1986....

Recruitment Genius: Compliance Manager

£40000 - £60000 per annum: Recruitment Genius: A Compliance Manager is require...

Day In a Page

Greece says 'No': A night of huge celebrations in Athens as voters decisively back Tsipras and his anti-austerity stance in historic referendum

Greece referendum

Greeks say 'No' to austerity and plunge Europe into crisis
Ten years after the 7/7 terror attacks, is Britain an altered state?

7/7 bombings anniversary

Ten years after the terror attacks, is Britain an altered state?
Beautiful evening dresses are some of the loveliest Donatella has created

Versace haute couture review

Beautiful evening dresses are some of the loveliest Donatella has ever created
No hope and no jobs, so Gaza's young risk their lives, climb the fence and run for it

No hope and no jobs in Gaza

So the young risk their lives and run for it
Fashion apps: Retailers roll together shopping and social networking for mobile customers

Fashion apps

Retailers roll together shopping and social networking for mobile customers
The Greek referendum exposes a gaping hole at the heart of the European Union – its distinct lack of any genuine popular legitimacy

Gaping hole at the heart of the European Union

Treatment of Greece has shown up a lack of genuine legitimacy
Number of young homeless in Britain 'more than three times the official figures'

'Everything changed when I went to the hostel'

Number of young homeless people in Britain is 'more than three times the official figures'
Compton Cricket Club

Compton Cricket Club

Portraits of LA cricketers from notorious suburb to be displayed in London
London now the global money-laundering centre for the drug trade, says crime expert

Wlecome to London, drug money-laundering centre for the world

'Mexico is its heart and London is its head'
The Buddhist temple minutes from Centre Court that helps a winner keep on winning

The Buddhist temple minutes from Centre Court

It helps a winner keep on winning
Is this the future of flying: battery-powered planes made of plastic, and without flight decks?

Is this the future of flying?

Battery-powered planes made of plastic, and without flight decks
Isis are barbarians – but the Caliphate is a dream at the heart of all Muslim traditions

Isis are barbarians

but the Caliphate is an ancient Muslim ideal
The Brink's-Mat curse strikes again: three tons of stolen gold that brought only grief

Curse of Brink's Mat strikes again

Death of John 'Goldfinger' Palmer the latest killing related to 1983 heist
Greece debt crisis: 'The ministers talk to us about miracles' – why Greeks are cynical ahead of the bailout referendum

'The ministers talk to us about miracles'

Why Greeks are cynical ahead of the bailout referendum
Call of the wild: How science is learning to decode the way animals communicate

Call of the wild

How science is learning to decode the way animals communicate