|Bid||0.4130 x 306200|
|Ask||0.4620 x 292100|
|Day's Range||0.3990 - 0.3990|
|52 Week Range||0.3280 - 0.7720|
|Beta (3Y Monthly)||-0.48|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||0.03 (7.71%)|
|1y Target Est||N/A|
The watchdog also confirmed NSF had offered to demerge its Loans at Home unit, the UK's third-largest provider of home credit, but raised questions over whether the resulting offshoot would be truly independent. NSF, controlled by funds who also own just over 50 percent of Provident, earlier this month dropped the level of acceptances needed to press ahead with the bid after winning over investors with 53.53% of its shares, well short of its original 90% target. NSF, led by ex-Provident boss John van Kuffeler, set June 5 as the last date on which the takeover may be declared unconditional.
Led by NSF's chief executive John van Kuffeler, who is a former boss of fellow subprime lender Provident, the takeover attempt has become increasingly bitter, with NSF saying Provident has been mismanaged. In its defence, Provident has raised concerns about the strategic, operational and financial logic of NSF's offer and its historical dividend payments and share buybacks. NSF, which first made a move in February, said in a statement that its offer was now unconditional in terms of acceptances by investors, with June 5 the last date on which the takeover may be declared "wholly unconditional".
The Competition and Markets Authority (CMA) said in February sub-prime lender Provident and smaller rival Non-Standard Finance (NSF) would have to hold off from integrating after any deal, to protect staff and customers while it considers the market impact of combining the subprime lenders. "We fully expect to reach an agreement in principle on an appropriate remedy with the CMA during the initial Phase I review process," NSF said on Monday. "If the CMA's approval has not been received by the date on which all other conditions to the offer are satisfied, NSF will have a decision as to whether or not to waive the CMA condition and proceed to completion," NSF said on Monday.
Provident said that 96% of the shares held by its independent shareholders have yet to be signed up to NSF's offer for the larger company, just days before a final deadline the latter has given for the deal to be accepted. Three funds - Woodford, Invesco and Marathon - holding more than 50% of Provident and a majority stake in NSF have all backed the bid, led by current NSF Chief Executive Officer and former Provident boss John van Kuffeler. "While this (96%) statistic is interesting and clearly implies low support for the transaction, the offer process only requires a majority if NSF chooses to proceed," KBW analyst Martin Williams said in a note on the deal.
NSF's 1.3 billion pound hostile bid for Provident has turned into a bitter war of words between the two subprime lenders, with NSF accusing Provident Financial executives of mismanaging the company. Provident, established in 1880 and based in the northern English city of Bradford, has been rebuilding after a botched restructuring of its home credit business led to profit warnings and the departure of its chief executive officer in 2017.
Provident, established in 1880 and based in the northern English city of Bradford, has been rebuilding after a botched restructuring of its home credit business led to profit warnings and the departure of its CEO in 2017. Non-Standard Finance (NSF) has expressed "strong confidence" in its takeover bid, giving investors more time to accept its $1.3 billion offer. Provident has rejected the offer and hit back at NSF accusations of mismanagement.
NSF's hostile bid for Provident has turned into a bitter war of words between the two subprime lenders with NSF accusing Provident Financial executives of mismanaging the company. Provident has raised concerns about the strategic, operational and financial logic of NSF's offer and its historical dividend payments and share buybacks, prompting NSF to identify errors related to its past payouts. NSF has been trying to buy its larger rival as Provident battles to recover from a string of setbacks, including a botched restructuring of its home credit business, profit warnings and a dividend suspension.
NSF's statement came after Provident repeatedly raised concerns about the historical dividend payments and share buybacks made by NSF. The two lenders have been locked in a takeover tussle since NSF made a 1.3 billion pound hostile bid. NSF said all the infringements identified could be rectified and would have no bearing on its strategy and financial or operational performance.
Just look at the 1.2 billion-pound ($1.6 billion) battle for Provident Financial Plc. The British subprime lender is trying to fend off an unwanted bid from John Philip De Blocq Van Kuffeler, its former chief executive officer. On Tuesday, Van Kuffeler’s vehicle, Non-Standard Finance Plc, said it had surpassed the magic 50 percent level of acceptances. A handful of Provident’s key shareholders, among them Neil Woodford, turned their existing non-binding commitments of support into irrevocable undertakings.
Non-Standard Finance (NSF) has been trying to buy its larger rival with a 1.3 billion pound (£1.3 billion) bid as Provident battles to recover from a string of setbacks, including a botched restructuring of its home credit business, profit warnings and a dividend suspension. NSF, whose bid is led by Chief Executive John van Kuffeler, a former CEO of Provident, said on Tuesday it had the backing of the holders of just over 50 percent of Provident's shares. The bid has the backing of fund investors Neil Woodford, Invesco and Marathon, who together hold over 50 percent of both NSF and Provident, but has repeatedly been opposed by Provident as not in the interest of remaining shareholders.
Provident last month rejected the bid launched by NSF, whose Chief Executive John van Kuffeler is a former CEO of Provident, saying it was looking for a better solution to turn around its business. Van Kuffeler said on Friday that the deal made commercial sense. Van Kuffeler was speaking after NSF reported a pre-tax loss of 1.6 million pounds ($2.09 million) for 2018, down from a pre-tax loss of 13 million pounds in 2017 and helped by a bigger loan book.
The Competition and Markets Authority (CMA) said on Tuesday it had served the companies with an initial enforcement order, put in place to prevent the businesses from integrating after a possible merger while the watchdog decides if it needs to launch an investigation. Smaller rival Non-Standard Finance (NSF), led by ex-Provident boss John van Kuffeler, announced on Friday that it had offered to buy Provident, which has run into trouble with regulators worried about the rates it charges on loans. While an initial enforcement order does not stop Provident and NSF from signing a deal, it prevents the firms from integrating, exchanging money or moving assets.