Cash Converters International Limited (‘the Company’) is pleased to announce the acquisition of four franchised stores in the northern UK towns of Halifax, Keighley, Dewsbury and Scunthorpe.
In addition, two new corporate stores were opened in the UK in June. The Company opened its second store in Hull and a store in Accrington.
The four stores were purchased from existing franchisees for a total price of £1.9 million, which included assets of £550,000. The acquisition price represents an EBIT multiple of 4.7 times.
The acquisition of these stores is anticipated to increase the Company’s EBIT by approximately £400,000 in their first full year of ownership.
These acquisitions, plus the two new store openings take the total number of stores owned by the Company to 59, comprising of 27 in Australia and 32 in the UK.
Cash Converters International Limited (‘Cash Converters’) is pleased to announce the issue of 16,200,000 additional ordinary shares at an issue of price of $0.60 per share to EZCORP Inc to raise $9,720,000 (‘the issue’). Following completion of the issue, EZCORP Inc shareholding will increase to 124,418,000 shares (representing 32.762% of Cash Converters) from 108,218,000 shares (29.766%). The 3% increase is permitted under the provisions of item 9 of section 611 of the Corporations Act. To see the full release click here [PDF].
Cash Converters International Limited (‘the Company’) is pleased to provide the following brief update on operations and acquisitions since 31 December 2009:
- In April 2010, three traditional stores and three buys and loans centres (all ex franchised stores) were acquired in Queensland and a further two traditional franchised stores will be acquired in May, one in Victoria and one in Western Australia. The total price to be paid for these acquisitions is approximately $4,355,000, which includes assets of $2,739,000. The acquisition of these stores is anticipated to increase the Company’s EBIT by approximately $1,100,000 in its first full year of ownership;
- The acquisition of these eight stores will take corporate store numbers in Australia to 25. There are now 52 corporate stores in the group, with 27 in the UK and 25 in Australia;
- The UK’s 150th store (including corporate and franchised) opened in April, making it our largest store network worldwide;
- The loan book for Safrock Finance which stood at $31.9 million at 31 December 2009 has grown 17% to $37.2 million as at 2 May 2010;
- The total cash advance loans out for the month of April 2010 was a record $16.1 million;
- The trial of the cash advance loan system and the Safrock personal loan system in the UK has been successfully completed and these products will now be rolled out progressively across the network in due course. Currently both products are available from nine of the corporate stores. The personal loan book has grown to £420,000 since the launch in October 2009 and all default and bad debt key performance indicators remain in line with our Australian bench marks;
- On the 23 February 2010 the Company completed a transaction with Quickdraw Financial Solutions Pty Ltd to acquire its cash advance software platform licence rights to South Australia and the Northern Territory and transfer its cash advance customers in these territories to our wholly owned software supplier MON-E Pty Ltd. The Company expects this transaction to deliver at least $1.3 million in additional fee revenue in a full financial year;
- Cash Converters remains on track to meet or improve on the previously announced full year net profit forecast of between $20.5 million to $21.0 million.
Revenue Gains - Cash Converters Secures the rights to SA and NT.
Cash Converters International Limited is pleased to announce the completion today of a transaction with Quickdraw Financial Soutions Pty Ltd [Quickdraw] of South Australia. Click for full details [PDF].
The Directors of Cash Converters International Limited are pleased to report a record net-profit of $10.1 milion for the half-year ended December 31, 2009, representing an increase of 26.8% on last years result.
This strong half-year result positions the Company well to meet or improve on the full year net profilt forecast of $20.5 million to $21 million as announced to the market in November, 2009.
As a result of the strong trading performance for the first four months of the financial year Cash Converters International Limited (‘Cash Converters’) is pleased to announce a profit upgrade from the Company’s previously released net profit target of $18 million - $18.5 million, to $20.5 million - $21.0 million.......
Good morning Ladies and Gentlemen and welcome to the 2009 Annual General Meeting of Cash Converters International.
The year under review has been the most successful in the Company’s history with a record net profit after tax of $16.2m, up 6.5% on last year’s result...