New Look announces stock market listing

New Look, which is owned by buy-out firms Permira and Apax Partners, said the proceeds will be used to pay down debt and position it for further growth.

It currently has 1,010 stores, including 601 in the UK, and generated sales of more than 1.3 billion in its most recent financial year.

Two years ago the group abandoned plans to float after a lukewarm response from investors, while a 2bn sale of the business also failed when the company was unable to agree a price with potential suitors.

Weymouth-based New Look was founded in 1969 by Tom Singh, and was taken private in 2004 by Apax and Permira for 700m, with Mr Singh retaining a stake.

Since then its new owners have invested around 450m in the business, although it currently has an estimated 1.1bn debt.

As well as the offering of 650 million of shares, New Look said there was the possibility that existing shareholders will sell some stock.

Chief executive Carl McPhail said: "Today's announcement is the latest exciting stage in our development and we look forward to growing our business, both in the UK and internationally."