Card Factory priced its IPO at 225p per share as conditional dealing began in the value greetings cards retailer.

The share price values Card Factory at £766.6m. Conditional dealing started this morning and trading becomes unconditional on the main market next Tuesday.

The retailer will receive £90m of the gross proceeds from the offer and there will be a free float of 38.6%.

Backer, private equity firm Charterhouse, will make £130.4m. Following the float, Card Factory’s directors and management will hold a 19.2% share in the business. Charterhouse will retain 41.3%.

Card Factory chief executive Richard Hayes said: “Since our first store was set up in Wakefield in 1997, Card Factory has firmly established itself as the leading specialist retailer in the large, resilient and growing UK greeting cards market, and now operates from over 700 stores nationwide. 

“Ours is a well-invested and cash-generative business with a strong business model, creating an excellent platform for further profitable growth.”

“We welcome our new shareholders, and our priority now is to execute our clearly defined growth strategy on their behalf”