Pcf Share Discussion Threads

[topvest] 31/5/2022 11:17

Feeling relieved I exited earlier, but still indirectly impacted through UIL which owns a majority stake in Somers. Yes, agreed - this has gone really pear shaped.

The announcements today appear to be inconsistent.

Firstly, a fundraise at 5p with Somers prepared to put in further cash in late June 2022 - is this a typo as its already 1st June tomorrow?

Secondly, the offer implies virtually no value to any shareholders including Somers, who are also a shareholder and why is the fundraising going ahead if there is an offer on the table. I presume, its to get the accounts away for the auditors Very poorly worded announcements albeit I have only glanced through.

"Under the terms of the Possible Offer, it is expected that PCF shareholders would have a small minority position in the combined group."

Underlines the point that investing in banks is always a risky business. This one had the backing of Somers which are a reliable prudent organisation, but its still gone pear shaped.

[dandigirl] 31/5/2022 10:34

solarno: Suspect it is the listing is the attraction to Castle. We would be a "small minority" - even smaller than we are now, I suggest.

[solarno lopez] 31/5/2022 10:16

Do we want shares in an unlisted entity if so where does that get the shareholders of PCF

[georgelees] 31/5/2022 09:58

PCF in takeover talks with Castle Trust Bank
PCF Group has announced that it is in "early-stage discussions" regarding a possible takover bid by Castle Trust Capital.

[georgelees] 31/5/2022 09:57

hxxps://www.financialreporter.co.uk/pcf-in-takeover-talks-with-castle-trust-bank.html

PCF in takeover talks with Castle Trust Bank
PCF Group has announced that it is in "early-stage discussions" regarding a possible takover bid by Castle Trust Capital.

[georgelees] 31/5/2022 09:56

hxxps://www.marketscreener.com/quote/stock/PCF-GROUP-PLC-4002011/news/Consumer-Lender-PCF-In-Talks-For-Possible-All-share-Combination-With-Castle-Trust-Capital-40591206/

"Consumer Lender PCF In Talks For Possible All-share Combination With Castle Trust Capital"

Is that true / good?

[graham1ty] 31/5/2022 09:15

“The Group takes it responsibility to communicate with shareholders extremely seriously. Following the publication of the 2021 full year results, it is anticipated that the Group will now move to a regular reporting timetable, with the 2022 interim results scheduled for the end of June. The executive team will host an 'Investor Meet Company' online meeting, as it has done previously, shortly after the announcement of those interim results to outline future plans for the business and to answer questions directly from investors. Further details of the exact timing of the event will be announced nearer to the time.“

Er, so why is there no meeting today ? What no chance to quiz the Board on this mess in the next few days ??

[graham1ty] 31/5/2022 09:06

I might later in try to add up all they call “remediation costs” over the last three years. And also, add up the impairments. Both will be horrific.

To an outsider, the Board has made a complete Horlicks of the whole process, and turned some minor accounting issues into a bloody great mess.

When I say “minor”, there has not been any findings of criminality or fraud that I am aware of. The 2019 accounts were audited by EY. If the systems were not good enough, that rests with the Audit Committee and the Board failing to make sure systems and processes were in place for the growth that PCF was achieving. But, to take two years, and tens of millions of ££ to change the record keeping and processes looks like making a complete hash of it…..

[cc2014] 31/5/2022 09:04

"The combination of these factors will give rise to a loss for the year which is anticipated to be significantly in excess of the loss for period ending 30 September 2021"

Somers prepared to put in £4.22m, but looking for OO of £6.85m which means Somers get diluted.

Which suggests to me Somers are prepared to put enough in to cover some losses and keep the capital ratio up but beyond that not alot.

The cash from the fund raise is going to disappear as all/most/some of the cash will disappear in losses.

The question would be if it's already known that accounts to Sept 22 are going to show a loss in excess of last year it's hard to see how they make a profit to Sept 23 and by then I suggest their impairments may be struggling again due the "cost of living crisis"

[che7win] 31/5/2022 08:53

The numbers look shocking to me.Whilst winding down the loan book, they've been winding up the fixed costs as per the below, why such a jump:Staff and operating expenses increased 56% to GBP21.2 million (2020: GBP13.6 million), due to increased headcount and professional services costs, which included GBP3.6 million of expenses related to the remediation of legacy issues.

[dandigirl] 31/5/2022 08:42

Graham: IMV the choices are simple. Sell or stay and see how matters unfold. We have elected for the latter.

No point in trawling all over the numbers. As we don’t get a real say as minority shareholders, might as well adopt a wait and see approach.

At least there is an exit now for those who wish to sell. Not many so far, it seems.

My first thought when perusing the numbers was that they are not as bad as I thought they might be.

The next month should be interesting with interims due by the end of June.

[graham1ty] 31/5/2022 08:34

It takes a long, long time to find the Outlook statement. And here is the killer:

• The combination of these factors will give rise to a loss for the year which is anticipated to be significantly in excess of the loss for period ending 30 September 2021.

Whatever went wrong under Scott, this fiasco has turned a healthy, growing, very profitable business into a loss making elephant. They may call it “quality people”, but at the end of the day it is headcount and massive increase in overheads.

It will take a lot longer to dissect the whole RNS. In the meantime…..oh dear

[graham1ty] 31/5/2022 08:29

The Board must think Mr Market is totally, totally disinterested. Very few comments on here, and only two trades visible…..

[dandigirl] 31/5/2022 07:56

Looks to me that our fate will be determined by Somers and Castle, which is owned by J C Flowers.

The first word that jumped out at me from the Flowers website was “opportunistic”!

[babbler] 31/5/2022 07:47

nothing about the takeover price hust that it has had an offer?

[bdroop] 31/5/2022 07:09

All feels “sub optimal” for existing shareholders this AM.

[seasidehippo] 30/5/2022 17:32

Credability issues if nothing tomorrow.

[georgelees] 30/5/2022 10:19

After hours today or tomorrow. I hope for once they stick to what they say, given the time they have now had. But what are the chances....

[seasidehippo] 30/5/2022 08:39

Did they say which year? May 23 maybe?

[graham1ty] 30/5/2022 08:39

So, last week of May means last day of May……

Or, heaven forbid, they might miss another deadline…..

The RNS said: “The production of the financial statements and audit process for the year ended 30 September 2021 is in progress with the Group's new auditors and is receiving priority focus. The Company anticipates the publication of its 2021 audited results during the last week of May 2022.“

Priority focus !!!! Yeah, yeah.

[graham1ty] 27/5/2022 07:39

Well, last week of May, means last days of May…..

Taking it to the wire….

[dandigirl] 26/5/2022 10:16

Back at you! 😊

[seasidehippo] 26/5/2022 08:48

Try talking to yourself it may help!!! lol.Looking forward to some good news and the lifting of the suspension.