9th May 2019 14:14
LONDON (Alliance News) - Business lender Distribution Finance Capital Holdings PLC completed its demerger from TruFin PLC on Thursday, with DF Capital's shares now trading on London's AIM market.
DF Capital lends to manufacturing businesses to provide capital to improve their supply chains. DF Capital offers products to firms that match their cash cycle to the lending terms.
DF Capital will have 106.6 million shares in issue with a market cap of GBP96.0 million, based on the placing price of 90 pence per share.
In afternoon trading, DF Capital's shares were trading at 125p each, 39% higher than the company's placing price.
"We are very pleased to have successfully completed the process of becoming a public company. The past year has been a great one for DF Capital. My sincere thanks to all our people for their efforts in building our company, our investors who continue to show great faith in the business and of course to all of our customers for their fantastic support. Exciting times ahead!," said Chief Executive Chris Dailey.
As at March 31, the company had signed 58 manufacturer lending programs.
DF Capital's loan book more than tripled in 2018. The lender has originated GBP392 million of loans to date.
In 2018, Distribution Finance delivered revenue of GBP5.2 million and an underlying operating loss of GBP7.0 million. As at December 31, it had total net assets of GBP54.6 million.
Arrowgrass Master Fund Ltd - the master fund of European focused alternative asset manager Arrowgrass Capital Partners - holds a 49% shareholder in DF Capital.
The company said its loan book has grown 25% in the first quarter of 2019.
Related Shares:
Trufin Plc