The UK’s new PISCES legislation is designed to free up capital tied up in private companies. If it works as intended, it could be a game-changer for private equity companies.
Private equity managers know their investors are sacrificing a degree of liquidity for high return potential.
But exits have become increasingly difficult due to muted deal activity and a stagnant IPO market.
Deal volumes increased by just 4.4% in the UK in 2024, following a disappointing 2023 (KPMG, 2025).
Meanwhile, in Q1 2025, just five companies floated on UK markets, securing a total of £74.7 million. That represents a 74% year-on-year fall in deal value from the £288.8m raised in Q1 2024 (EY, 2025).
PISCES provides a solution
PISCES (Private Intermittent Securities and Capital Exchange System) legislation allows companies to list private shares on intermittent trading platforms. It means they can generate their own liquidity events – even when there is no IPO or sale on the horizon.
In August 2025, the London Stock Exchange (“LSE”) unveiled the first intermittent trading platform, the LSE Private Securities Market. It is expected to begin trading later this year.
This gives private equity managers a new option to sell portfolio companies:
- Generating returns for their investors
- Demonstrating their ability to arrange attractive exits – especially when raising for a new fund
- Providing a testing ground for a potential IPO
An exemption from stamp duty – acknowledgement that the UK government sees private companies as a vital source of innovation and growth – should make PISCES appealing to private equity managers.
How does PISCES trading work?
PISCES allows for the listing of:
- Shares of UK private companies
- Shares of overseas private companies (they must not have a listing abroad and must follow UK regulations)
- Shares of special purpose vehicles
Participating companies must meet at least two of the following criteria:
- £10 million of capital raised in the past three years
- Total assets greater than £20 million
- Turnover greater than £10 million
Private equity managers will be able to pay an early return to existing investors and demonstrate their ability to generate returns to potential new ones.
They can even use it as an opportunity to test investor appetite ahead of a full IPO, while retaining complete control over trading conditions:
- Trade in an open or a permissioned auction reserved for selected investors
- Specify a price range within which shares will trade
- Set time limits for trading – one off, ad hoc, or continuous
Once PISCES trading is complete, the company returns to being fully private.
Are there any risks?
As with any new and untested framework, there are risks.
Many private companies have relatively complex capital structures, with multiple share classes, each having their own rights and arrangements. That could prove an impediment, given that trading works best when there is a high level of standardisation.
Neither is it clear how realistic companies will be when setting their trading price ranges. It may lead to some companies being traded heavily while others, with unattractive pricing, are largely ignored.
Careful preparation can help overcome some of these issues.
We can get you ready for PISCES
We support you throughout the PISCES process. As a leading global financial services company, we can get you PISCES-ready, fast. Apex PISCES Pro is fully integrated throughout the PISCES process.
We can help ensure you have the relevant disclosures and the infrastructure needed to support investors, whether they are existing investors or those buying shares in the company for the first time. Following your PISCES listing, we can also ensure that high-quality reporting is maintained ahead of future listings.
Meanwhile, Apex Strategic Marketing Partners can equip you with marketing materials, messaging and a visual identity that ensures you stand out from the competition and won’t be forgotten.
Lastly, Apex Unitas is a member of the LSE as a Registered Auction Agent on the Private Securities Market. We will deal with all aspects of trading through to cash settlement.
If you would like to learn more about PISCES Pro, please contact us.
