SVB has released plans for a scheme of arrangement, and the formation and capitalisation of a new listed holding company, Novae Group plc.
It will also establish an FSA-authorised limited liability company, NICL, specialising in regional UK commercial lines.
NICL will be funded by a £103.2m rights issue with an issue price of 30p per share.
SVB's share price currently stands at 31.75p, a 13.61% fall on the day's opening price.
Matthew Fosh, SVB chief executive, said: “The formation of a UK insurance company represents a key element of our stated strategy…SVB is now able to grow and develop the top quartile business we have been nurturing during the past three years.”
