An overwhelming majority backed Standard Life's float plan

The gain, of 12.5p to 242.5p, means an initial paper profit for members given shares in the firm's flotation.

About 2.4 million members received the shares in exchange for giving up their mutual ownership of the insurer.

An offer of additional shares was heavily over-subscribed, raising �1.1bn for the country's fifth largest insurance firm.

Sandy Crombie, the chief executive, said the company had done a good job for its members.

"We found an enormous demand for new shares," he said.

"Members and customers applied for more shares than we had available to allocate to them."

Preferential allocation

Members, other customers and staff were able to apply for more shares at a 5% discount to the eventual flotation price of 230 pence.

And if they keep these for a year they will receive a bonus of one share for every 20 they have held.

About 600,000 members - a quarter of the total - chose to sell �1bn worth of shares immediately as part of the flotation process.

However, they were outweighed by 300,000 members and customers wanting more.

Paying 218.5 pence for each share, they will receive the full amount they asked for if they applied for up to �2,000 worth of shares.

Those trying to buy more than that will get 70% of their applications for sums between �2,000 and �50,000.