UPDATE 1-OneSavings Bank to list on London Stock Exchange
* Stock market value seen in 500-600 mln stg range
* Expects gross proceeds of 41.5 mln stg (Adds details)
By Matt Scuffham
LONDON, May 7 (Reuters) - British lender OneSavings Bank plans to list on the London Stock Exchange to bolster its capital and provide funding for future growth, it said on Wednesday
OneSavings is one of several new British banks eying stock market listings. TSB, which is being spun off from Lloyds Banking Group, is planning to list before the end of June, while Aldermore and Shawbrook are also planning flotations.
OneSavings, which is backed by U.S. private equity group J.C. Flowers, said it expected to raise gross proceeds of 41.5 million pounds ($70.5 million) following a flotation of at least 30 percent of the business on London's main market.
The bank was created in 2010 when the struggling Kent Reliance building society was rescued through a 50 million pound capital injection from J.C. Flowers.
"A stock exchange listing is the next natural step in the evolution of the business, providing us with access to the capital markets to enable us to invest for future growth," Chief Executive Andy Golding said in a statement.
Golding said the initial offering is likely to take place in June. JC Flowers is expected to retain a stake of between 30 and 50 percent in the business, which is likely to be valued between 500 million pounds and 600 million, according to sources familiar with the matter.
Barclays is acting as global co-ordinator for the issue.
OneSavings made a pretax profit of 31.4 million pounds last year, up from 8.1 million in 2012, and increased lending by 38 percent to 3 billion pounds. It is targeting a dividend payout of at least 25 percent of earnings.
($1 = 0.5885 British Pounds) (Editing by Chris Vellacott and David Holmes)
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