Panmure Gordon, the broker backed by former Barclays chief executive Bob Diamond, has announced an all-share merger with rival Liberum to create the UK’s largest independent investment bank.

Among other attributes, the combination will make Panmure Liberum the biggest adviser to London-listed investment companies with 70 in total.

It will also have over 250 quoted corporate clients and its analysts will cover over 580 stocks in UK and Europe.

Shane Le Prevost, the founder of Liberum, will be the non-executive chair of the enlarged group’s board of the enlarged group.

The business will be led by Panmure chief executive Rich Ricci while Bidhi Bhoma, his counterpart at Liberum will be deputy CEO.