Arbuthnot Banking - Loan Portfolio Acquisition London Stock Exchange
RNS Number : 1703S
Arbuthnot Banking Group PLC
19 December 2016


19 December 2016

Arbuthnot Banking Group PLC

Loan Portfolio Acquisition

Arbuthnot Banking Group PLC ("Arbuthnot" or "the Group") today announces that its wholly owned subsidiary Arbuthnot Latham ("AL") has completed the purchase of a private banking loan portfolio, which is mainly secured against residential property.

The loans are being purchased from Duncan Lawrie Ltd ("Duncan Lawrie"). As at 31 October 2016 the portfolio had total customer balances of approximately £44.9m and comprised 83 customer accounts. The average loan to value of the portfolio was 43% and the client yield was 5.21% (for the month of October) before applying any yield adjustment for the negotiated discount, which was 5% to the par value of the loans. This discount should result in a higher effective interest rate as the portfolio repays.

The consideration of £42.7m (which is subject to certain completion adjustments relating to the period up to 31 January 2017) will be satisfied in cash from the Group's resources.



Arbuthnot Banking Group

Henry Angest, Chairman and Chief Executive

Andrew Salmon, Group Chief Operating Officer

James Cobb, Group Finance Director

Ian Henderson, Group Director and Chief Executive Arbuthnot Latham


0207 012 2400

Stifel Nicolaus Europe Ltd trading as KBW (Nomad and Joint Broker)

Robin Mann

Gareth Hunt

Stewart Wallace


0207 710 7600

Numis Securities Ltd (Joint Broker)

Chris Wilkinson

Andrew Holloway


0207 260 1000

Bell Pottinger (Financial PR)

Ben Woodford


0203 772 2563


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