THE Hampshire-based subprime car finance provider Moneybarn has been acquired by Provident Financial Group for £120m.
In a statement, Provident said: ‘The acquisition of Moneybarn broadens the product offering to the group’s target customer base and creates a third leg of earnings that complements the organic growth opportunities available to the group.
‘Moneybarn’s origination has been muted recently, given funding constraints, and this leaves scope for growth going forward.
‘The board believes that the business is highly scalable, given the strength of broker relationships and market leading credit decisioning, combined with the strength of the group’s balance sheet.’
Peter Minter, managing director of Moneybarn, said: ‘We are delighted that Provident Financial Group has acquired the business. We look forward to working with colleagues in PFG, and building on our long history of successful growth in our market.
‘Moneybarn is the UK’s largest non-standard vehicle finance company, and this acquisition by Provident Financial Group will help us realise significant profitable growth over the coming years.’
For the year ended December 31, 2013, Moneybarn reported audited profit before tax of £5.5m and gross assets of £151.6m. And in May, the company moved to larger premises in Petersfield, Hampshire.
