8th Apr 2015 13:05
LONDON (Alliance News) - International Personal Finance PLC Wednesday said it has had to withdraw its plans to raise money by issuing sterling denominated 5.875% notes as a result of weak demand from investors.
In a statement, International Personal Finance said there was "insufficient demand from investors to ensure adequate liquidity in the secondary market". The offer for the notes, which would have matured in October 2022, was launched on March 19.
International Personal Finance, which provides home credit in emerging markets, said it has a "robust funding position".
"IPF will continue to pursue its strategic objective of securing lower cost debt with varied maturities, including longer term debt, from diversified sources," the company said in a statement.
International Personal Finance wanted to issue the bonds to work its balance sheet harder in order to improve shareholder returns, as it looks to fund more of its growth with debt in the place of equity.
International Personal Finance shares were down 1.7% at 491.50 pence on Wednesday afternoon.
By Samuel Agini; [email protected]; @samuelagini
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