Pepper Group shares soar on debut

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Specialist lender Pepper Group debuted on the ASX at a 19% premium after raising $144.5 million.

The $2.60 shares in the non bank lender hit $3.10 soon after opening.

The shares offered through the IPO represent about 30.8% of those on issue. The founding shareholders, representing 45.4% of the company, are retaining their holdings.

The money raised is being used to repay debt and provide flexibility to fund the company’s growth.

Pepper is also exploring acquisitions.

The company has increased assets under management to $26.6 billion from $4.9 billion in 2011 and is forecasting net profit to rise 33.9% to $47 million in the year to December.

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