Every cloud has a silver lining

摘要

Two separate pay-day loan companies are tapping the public markets for funds to lend to hard-pressed consumers turned away by the established high-street banks. Finnish lender ferratum made a trading debut in Frankfurt on Friday having placed 2.83m new shares, alongside a sale of 3.68m secondary shares provided by founder Jorma Jokela and Pontos Capital, at €17 per share. The free-float on admission was 26%, increasing to about 30% if an 850,068 secondary share greenshoe is exercised. Total proceeds are €110.8m. The group offers short-term consumer loans of between €25 and €2,000. Revenue for the financial year 2013 was €58.2m with an Ebit margin of 12.6%.The margin for the nine months 2014 was 17.1%. The company will use the primary proceeds to finance a growth strategy.