18 Sep 2015 07:01
18 September 2015
Private & Commercial Finance Group plc
("PCFG", the "Company" or the "Group")
AGM Trading Update
Continuing to outperform targets and trading ahead of expectations
PCFG, the AIM listed finance house, will hold its Annual General Meeting ("AGM") at 10.30am today at the offices of Tavistock Communications, 131 Finsbury Pavement, London EC2A 1NT.
At the AGM, Chief Executive Scott Maybury will make the following statement to shareholders:
"The Board is pleased to report that, following a strong set of results in the financial year ended 31 March 2015, portfolio growth, portfolio quality and the Group's profitability continue to outperform targets. In advance of the results for the six months ending 30 September 2015, the Board is pleased to report that trading for the first half is currently ahead of management expectations.
We are continuing to progress our banking licence application and our regulatory business plan is currently being reviewed by the relevant authorities, ahead of its formal submission.
Included in the resolutions at today's AGM are proposals to restructure the Company's balance sheet to eliminate the deficit in retained profits. The Board has recommended these proposals and, if passed, and following the subsequent application to the court to approve the process, it is the Company's intention to return to the dividend list in due course after a long absence.
Finally, we have been notified that our major shareholder Somers Limited ("Somers") has transferred its entire holding of 15,553,800 ordinary shares and 5,830,446 6% Convertible Unsecured Loan Notes 2016 ("nominal 2016 CULS") to its wholly owned subsidiary company, Bermuda Commercial Bank Limited ("BCB), and that BCB intends to convert all of its nominal 2016 CULS by the end of this month. A separate Regulatory News Service announcement has been made this morning detailing the structure and timing of both these transactions. As BCB is a 100% subsidiary of Somers, the transfers between the two represent a re-organisation of their group interests in PCFG, rather than any change in ownership.
BCB has always been fully supportive of PCFG, and this early conversion not only underpins their long-term support but also significantly strengthens the Group's balance sheet for the next phase of our growth, including the major strategic initiative of obtaining a banking licence.
We have consistently reported shareholder returns, key performance targets and ratios on a fully diluted basis, so the Group's financial fundamentals remain unchanged. However, our future prospects have been significantly enhanced as, following these transactions, the net assets of the Group will be increased to more than £20 million.
Our performance in the financial year to date, in addition to the transactions detailed here today, means we can view the remainder of the current financial year with confidence. We look forward to reporting our Interim Results on 1 December 2015."
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For further information please contact:
Private & Commercial Finance Group Scott Maybury, Chief Executive Robert Murray, Managing Director David Bull, Finance Director
| Tel: +44 (0) 20 7222 2426 |
Tavistock Chris Munden / Niall Walsh / Lucia Caprani
| Tel: +44 (0) 20 7920 3150 |
Panmure Gordon (UK) Limited (NOMAD and Broker) Fred Walsh / Peter Steel / Atholl Tweedie
| Tel: +44 (0) 20 7886 2500 |
Westhouse Securities Limited (Joint Broker) Henry Willcocks
| Tel: +44 (0) 20 7601 6100 |
About Private & Commercial Finance Group plc (www.pcfg.co.uk)
Established in 1994, Private & Commercial Finance Group plc is an AIM quoted finance house which has two main operating divisions:
• Consumer Finance which provides finance for motor vehicles to consumers; and
• Business Finance which provides finance for vehicles, plant and equipment to SMEs.
The Group has a highly efficient and scalable business model, utilising its specially developed internet-based proposal system to service national networks of brokers and suppliers.