20th May 2019 08:51
LONDON (Alliance News) - Provident Financial PLC on Monday called Non-Standard Finance PLC's hostile bid for the company "significantly flawed and value destructive" and noted a statement from shareholder Schroders PLC.
On Wednesday last week, Non-Standard Finance announced its GB1.3 billion offer for fellow sub-prime lender Provident had become unconditional as to acceptances, with 53% of Provident shares taking up the offer.
Provident said it urges shareholders not to take any action regarding the Non-Standard Finance offer. The company also posted a comment from FTSE 100-listed asset manager Schroders, which holds a 15% stake in Provident.
"We have noted the announcement from NSF that its offer for Provident Financial has become unconditional as to acceptances," said Schroders Fund Manager Kevin Murphy.
"We remain of the view that it is in the best interests of those [Provident Financial] shareholders who are not also shareholders in NSF to reject the NSF offer and continue to hold premium listed [Provident Financial] stock, confident in the protection for minority shareholders that this provides," Murphy added.
Shares in Provident were up 0.4% at 481.70 pence on Monday morning. Non-Standard Finance shares were down 0.4% at 47.58p.
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PFG.LNSF.L