Rothschild, the investment bank, and the retail investment giant Hargreaves Lansdown are to become shareholders in a platform which allows ordinary investors to take part in corporate floats and share sales.

Sky News understands that the two firms, alongside the investment banks Jefferies and Numis, will be unveiled on Thursday as partners of RetailBook, which has been established by the listed City broker Peel Hunt.

Sources said that the companies which have struck collaboration agreements with RetailBook would be granted options to become shareholders in the platform.

Previously known as REX, the venture enables retail investors to participate in capital markets transactions such as initial public offerings (IPOs) and follow-on share sales through retail brokers and wealth managers.

One insider said that Hargreaves Lansdown had entered into a short-term exclusivity agreement with RetailBook in relation to follow-on equity fundraisings.

The partnerships with leading City firms represent an effort by Peel Hunt to “mutualise” the stock market at a time when retail investment is being encouraged by the government and regulators.

Rivals include PrimaryBid, the British fintech unicorn which sprang to promising during the pandemic when it won key roles on a slew of emergency fundraisings by major listed companies.

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PrimaryBid recently struck a partnership with Winterflood Securities in an effort to boost retail investor participation in the London market.

Peel Hunt intends to cede a majority of the shares in RetailBook over time, and is establishing the business as an independently run company.

A Peel Hunt spokesman declined to comment.

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