23rd Sep 2014 10:33
LONDON (Alliance News) - City of London Group PLC is now in advanced discussions around the sale of Therium, its 50% associate engaged in litigation funding, according to acting Chief Executive John Kent, Tuesday.
Last month the group said the process to secure a new partner for Therium had begun and was progressing well, with discussions taking placing with a number of parties.
City of London Group has been looking to simplify and step up its focus on lending to small- and medium-sized enterprises since in July reporting a GBP5.2 million loss for its last financial year.
Kent's comments came at the company's annual general meeting.
"Trade Finance Partners, the company's trade finance associate, has stepped up its facility with Macquarie Bank Ltd from GBP23.0 million to GBP28.0 million and anticipates a further step up as demand for its services increases. Discussions continue on the forward financing of Credit Asset Management, the group's SME leasing and professional loans business, and the Board hopes to reach a clear resolution by the calendar year end. Meanwhile we are continuing to reduce the group's central costs to the target run rate of GBP500,000 per annum by the calendar year end," Kent told shareholders at the AGM.
City of London Group shares were Tuesday untraded at 20.5 pence.
By Samuel Agini; [email protected]; @samuelagini
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