£2.3bn meerkat as Canadians back website

PRICE comparison website Compare the Market’s owner has ditched plans to float after a Canadian pension fund ploughed £675m into it.

BGL Group had been considering a public offering on the London Stock Exchange but has instead struck a deal with Canada Pension Plan Investment Board.

The fund agreed to buy 30pc of shares in the business, which is famous for its adverts with the colourful meerkat Aleksandr Orlov, valuing it at £2.25bn. The deal is expected to complete in April, with BHL – the owner of BGL – retaining a majority stake.

Peter Winslow, the chairman of BGL, said of the firm’s new backer: ‘It is a hugely respected and experienced global institution, with a long-term ethos and track record of supporting growth.’

Pension fund director Ryan Selwood said the investment would diversify its portfolio. It comes as ZPG, the owner of property website Zoopla and energy comparison website uSwitch, has been unsuccessfully trying to woo rival Gocompare.