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Non-Standard Finance (5.00p)
A risky trade/investment case.
#NSF hit by Covid-19 economic downturn and uncertainty feels the strain as £200m loan facility obtained to accelerate growth can’t be accessed due to a breach in loan covenants with lender Ares.
A risky trade/investment case.
#NSF hit by Covid-19 economic downturn and uncertainty feels the strain as £200m loan facility obtained to accelerate growth can’t be accessed due to a breach in loan covenants with lender Ares.
However #NSF cash position £72.2m at the end of June.
Net loan book of £218m at Everyday Loans; £107m loan book with guarantor loan arms TrustTwo and GeorgeBanco; £39.9m loan book with Home Credit Loans with some 160,000+ customers.
Net loan book of £218m at Everyday Loans; £107m loan book with guarantor loan arms TrustTwo and GeorgeBanco; £39.9m loan book with Home Credit Loans with some 160,000+ customers.
Share register shows Alchemy holding 29.95% + Aberforth 17.78%.
If the company is seeking funds from existing investors, there must be some expectation that private equity investors such as Alchemy will be in talks.
Outlook for #NFS isn’t as bad as it first appears.
If the company is seeking funds from existing investors, there must be some expectation that private equity investors such as Alchemy will be in talks.
Outlook for #NFS isn’t as bad as it first appears.
Much of Non-Standard Finances fortunes have been wiped by last years failed acquisition of Provident Financial PLC which was shelved by the competitions body and subsequent impairment charges and costs incurred for the failed move.
#NFS
#NFS
Coupled with the impact of Covid uncertainty the share price has hit 52 week lows.
However, I can see potential with the loan book here.
I think as some others have speculated there’s potential for business growth in the current climate for lenders like #NSF
However, I can see potential with the loan book here.
I think as some others have speculated there’s potential for business growth in the current climate for lenders like #NSF
Guarantor Loan book stands at £107.4m and has some 32,600 customers at its TrustTwo and GeorgeBanco divisions.
As conventional lenders tighten up, there’s plenty of scope for customers seeking credit to turn to alternative providers such as #NSF
As conventional lenders tighten up, there’s plenty of scope for customers seeking credit to turn to alternative providers such as #NSF
#NSF arm Everyday Loans has a net loan book of £218.3m and some 75,400 customers and some 73 stores up and down the UK.
Home Credit Loans has a £39.9m net loan book and 93,400 customers.
These arms are both established and well known lenders.
Home Credit Loans has a £39.9m net loan book and 93,400 customers.
These arms are both established and well known lenders.
The recent trading update shows impairments were not as bad as Covid impact led many to believe, and that in June alone #NSF generated some £11.9m in cash and highlighted collection rates at 89%.
Of course there’s risk, that’s why it’s at 5p (3p earlier in the day) and has a paltry market cap of £16m, but there’s potential for some upside here.
If not, no worries. This is a riskier punt.
Play safe.
#NSF
If not, no worries. This is a riskier punt.
Play safe.
#NSF
