11th Apr 2019 18:13
LONDON (Alliance News) - Arbuthnot Banking Group PLC on Thursday said it intends to sell up to 1.1 million shares, held by its subsidiary Arbuthnot Latham & Co Ltd, in the capital of Secure Trust.
The bank explained that the purpose of the sale is both to support future growth of the Arbuthnot Latham lending businesses and to reduce the significant additional regulatory capital that a holding of this size in another bank requires.
The sale of the stake will also improve the company's regulatory capital position, it said. The company said it will not dispose of shares in Secure Trust for a period of 180 days following the transaction.
Arbuthnot noted, however, that following the sale of the stake, the dividend income for the company will be reduced by GBP800,000.
Arbuthnot shares closed 5.3% higher on Thursday at 1,390.00 pence each in London.
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