Research, Charts & Company Announcements
Research Tree provides access to ongoing research coverage, media content and regulatory news on SECURE TRUST BANK PLC. We currently have 4 research reports from 1 professional analysts.
|22Nov16 05:05||RNS||Appointment of Independent Non-Executive Directors|
|11Nov16 04:20||RNS||Holding(s) in Company|
|10Nov16 12:30||RNS||Holding(s) in Company|
|08Nov16 09:05||RNS||Results of Placing|
|07Nov16 05:44||RNS||Exercise of Options|
|26Oct16 01:29||RNS||Holding(s) in Company|
|19Oct16 12:30||RNS||Sir Henry Angest Steps Down as Chairman|
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Research reports on
SECURE TRUST BANK PLC
SECURE TRUST BANK PLC
Poised to benefit from uncertain times
02 Aug 16
Now independent with significant capital headroom, Secure Trust Bank (STB) is seeking a Main Market listing. This will leave it particularly well placed to take opportunities for both organic and inorganic growth in what may be a period of elevated uncertainty as the UK negotiates its exit from the EU. In its interim results STB showed strong growth, despite taking a more cautious stance in areas of its business before the EU referendum.
A strategically flexible bank
16 Jun 16
Shareholders in Arbuthnot Banking Group (ARBB) have approved the sale of shares in Secure Trust Bank (STB) that will leave the former parent as a sub-20% shareholder in the group. STB already has significant capital headroom to accommodate strong organic loan growth following the sale of Everyday Loans Group. Its plan to seek a Main Market listing will enable it to appeal to a broader investor audience, leaving it better placed to consider share issuance, providing greater flexibility to pursue a wider range of strategic options. This comes at a time of rapid growth and proliferation of contenders among specialist lenders and challenger banks.
Growing into its capital
26 Apr 16
Secure Trust Bank is an established ‘challenger’ with a record of organic profitable growth. The Everyday Loans Group sale provides substantial regulatory capital for organic and potentially inorganic growth. The move into mortgages will further diversify lending. Despite a record of rapid loan book expansion, an ROE/COE valuation model suggests the market is reluctant to make full allowance for profitable employment of the surplus.
Paying back on SME investment
31 Jul 15
STB continues to deliver excellent growth, as promised. In H115, 40% growth in statutory pre-tax profits was driven by a 42% revenue increase and smaller cost growth. Loans grew 90% on H114 and deposits by 75%. Impairments remain below management expectations. Strategically, H115 saw the initial payback for investment in the SME business lines. The real estate potential is being realised and is the key driver to SME lending now at c £25m per month (ie + 2% per month growth on H1 closing balance).
Mobilising the strategy
08 Dec 16
PCF has reported a good set of FY16 figures this morning. Pro forma 12 month adjusted pre-tax profit increased 38% YoY to £4.0m (FY15: £2.9m), 5% ahead of our estimate of £3.8m. Fully diluted return on equity remained broadly stable YoY at 13% but beat our forecast of 12.6%, driven by good loan book growth, up 14% YoY to £122m. Given the strength of the results the board has reinstated a dividend of 0.1p per share. Following Tuesday’s announcement of the approval of a banking licence, we believe that the group now has the capacity to accelerate its growth prospects. While the shares trade at 12.0x earnings and 2.0x reported book value, we do not believe this valuation captures the growth potential of the business.
VPC Speciality Lending Investments PLC – sticking to your knitting pays dividends
05 Dec 16
A 25% discount on a dividend paying vehicle suggests either (a) lack of belief in the NAV, (b) lack of belief in the dividend, (c) concerns over future delivery, (d) a shareholder’s base not normally exposure to “closed end structures” or (e) some combination of (a) to (d). We had a first meeting with the management team and London representative of VPC Speciality Lending to try to better understand why the share price had fallen quite so much.
Small Cap Breakfast
07 Dec 16
Creo Medical group—Schedule 1 update.. £20m raise. Expected market cap £61.2m, admission expected 9 December. ECSC—Schedule 1 from provider of cyber security services. Raising £5m. Vendor sale £0.8m. Target date 14 Dec. Expected market cap £15m. RM Secured Direct Lending - The secured direct lending fund intends to float on the Main Market on 15 December raising up to £100m
Better Capital – A tale of two funds
05 Dec 16
Our gut feel on the results is that BCAP’s Gardner disposal feels viable (albeit as a late Q1 transaction). Post Gardner, the exit profile for BCAP’s portfolio is slanted towards the years 2018/19 and not earlier; we view the market’s current pricing as cautious (14% disc to our estimate of FV). In contrast, BC12’s more consumer facing portfolio remains a work in progress and may well offer further disappointment before turning a corner; the market valuation (51% discount to NAV) is cautious but probably fair given the difficulties.
Panmure Morning Note 07-12-2016
07 Dec 16
PCF today announces that it has succeeded in achieving once its major strategic goals by being granted a UK banking licence. In line with prior guidance, the company aims to begin taking deposits in summer 2017 and will initially focus on lending to its core markets in consumer motor finance and SME asset finance. As well as supporting growth in the loan book, the banking licence will both diversify and reduce the cost of its funding base. More details are expected as part of the FY16 results tomorrow.
Meeting near-term headwinds
06 Dec 16
In its trading update IFG reported that performance has been in line with management expectations. The cooling effect of market uncertainty on growth in James Hay and financial advice client numbers, together with the impact of low interest rates, remain a near-term head wind for revenues. Even so, with Saunderson House continuing to increase profits, IFG expects to match 2015 earnings. The long-term growth opportunity presented by an ageing population and pension freedoms remains in place and to address this IFG is continuing investment to enhance its service and increase operational gearing.