Yorkshire credit lender confirms £23.8m purchase
Leeds-based IPF announced its takeover bid last month and this morning said the £23.8m acquisition will go ahead.
It has secured “irrevocable undertakings” to vote in favour of the deal from directors and other shareholders who together control 82.7% of MCB Finance.
AIM-listed MCB Finance Group is an online provider of short and medium-term loans to customers in Finland, Estonia, Latvia, Lithuania and Australia. It is based in Estonia.
Gerard Ryan, chief executive of IPF, said:”MCB brings new digital products, distribution channels and an experienced management team, all of which complement IPF’s existing business.”
Dr Anton Mayr, chairman of MCB, added: “The directors believe that IPF’s offer represents good value for MCB Shareholders, striking an attractive balance between the future opportunities and risks facing the business, and the directors have therefore decided unanimously to recommend the offer. We believe IPF’s management, industry experience and balance sheet strength will increase the options available to MCB and enhance its future growth prospects.”
IPF has around 7,000 employees and approximately 30,000 agents. Earlier this year, it reported record half year profits. In the six months to the end of June, the Leeds-based business increased pre-tax profit by 11% to £47.1m as well as boosting customer numbers by 7% to 2,607m and entering into Spain for the first time.
IPF is being advised by Evercore in relation to the acquisition. MCB is being advised by Torch Partners. Sanlam is Nominated Adviser and broker to MCB.
This week, IPF also announced the appointment of Dan O’Connor as an independent non-executive director and the retirement of chairman Christopher Rodrigues. O’Connor will succeed Rodrigues as chairman of the group and of the nomination committee.
