Asset manager River & Mercantile has announced plans to push ahead with an initial public offering following its merger with consulting firm P-Solve to finance its growth strategy and incentivise key managers.

The group's founding shareholders, including entrepreneur Sir John Beckwith and actuarial firm Punter Southall, will retain a 60% stake in the group after reducing their stakes. They have agreed to retain their reduced holdings for at least a year. Key managers have agreed to a two year lock-up. The group's net proceeds from the float will be £12 million.