8th Feb 2007 07:00
8 February 2007 Impact Holdings plc Trading Update Purchase of loan portfolio
Impact is delighted to report that it has agreed to buy for ‚£1.55m a portfolio of solicitor disbursement funding with a current value of ‚£1.86m and yielding 18.4%. As part of this transaction the Manchester Building Society has extended to Impact a ‚£10m revolving credit facility. The transaction will require no equity from Impact but the Company has agreed to provide the Manchester Building Society with 2,000,000 options, these are exercisable within four years at a price of 10p per share.
This funding commitment from the Manchester Building Society follows the announcement of 1 February 2007 that Impact had received indicative offers for facilities of up to ‚£23m. Success in securing those facilities will enable the Company to grow its loan book to in excess of ‚£45m.
Paul Davies, Chief Executive, said "We are delighted by the Manchester Building Society's decision to offer us this facility. We can see a huge demand for specialist loans and this funding will help us capitalise on that demand".
Impact Holdings plcPaul Davies0161 437 9499Daniel Stewart & Co.Alastair Cade/Chloe Ponsonby0207 776 6550
IMPACT HOLDINGS (UK) PLCRelated Shares:
IHUK.L