Richmond Group, which owns a 60.66% stake in Amigo, has kicked off a formal sales process and said it is a “willing seller” of the business.

The company said it was concerned about increased regulation and “a continual evolution in the approach of the Financial Ombudsman Service.”

Amigo offers high interest loans to people with poor credit history, allowing them to name family or friends as guarantors.

In a statement, Richmond Group said: “The strategic review will consider various aspects of the Company’s strategy, ownership and operating model, including the potential sale of the Company as a whole, the sale of parts of the group, reorganisation of entities within the Company’s group, the sale of the UK business, the sale of certain books of business including a potential de-listing of the Company’s shares.”

The company confirmed it has not yet received any approaches from interested parties.

A spokesperson for Amigo confirmed it was business as usual for customers.