Latitude Financial Group Limited's owners are expected to upsize the retail component of its initial public offering after being met with overwhelming demand. The non-bank lender is set to list as a $2.6 billion company on April 20 after locking in support from four Australian institutional investors at $2.60 a share and Japan's Shinsei Bank, Limited (TSE:8303), which is buying just under 10% of the business for $300 million. The institutional investors are providing about $120 million and Latitude is looking for at least $30 million from retail investors in an offer that is likely to be upsized by the end of the week. Retail brokers involved are Bell Potter, Ord Minnett and Escala and CBA. However, the maximum raise will only be $200 million, excluding the sale to the Japanese. The plan is to sell only a minimal amount of stock and for the private equity owners to offload more shares over time once the company's valuation increases on the market. Latitude is owned by Deutsche Bank Aktiengesellschaft (XTRA:DBK), Värde Partners Inc. and KKR & Co. Inc. (NYSE:KKR), which will emerge with about 65% of the company once it is listed. According to the prospectus, Chief Executive Officer Ahmed Fahour's holding will decrease to 0.3%, from 2.7%, but he will be buying 25 million options paid for out of his own pocket. Some of the shareholders in the Varde fund that owns Latitude will transfer their exposure to Latitude via direct holdings in the company below the substantial shareholder threshold.