Chief Exec appointment and Trading Update

RNS Number : 9741B

Distribution Finance Cap. Hldgs PLC

05 February 2020

 

5th February 2020

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATION (EU) NO.596/2014.

Distribution Finance Capital Holdings plc
("DFC" or the "Company" or together with its subsidiaries the "DFC Group")

Chief Executive Officer Appointment and Trading Update

The Company today announces the appointment of a new permanent Chief Executive Officer and a trading update.  This continues the Company's commitment to ensure shareholders are fully informed of developments and the extensive progress that is on-going.

The Company today is delighted to announce the appointment of a new permanent Chief Executive Officer, Carl D'Ammassa.  Carl has over twenty years of experience in commercial finance within banks and finance companies.  Most recently at White Oak, a specialist finance provider, Carl spent most of his career in senior management positions at Aldermore Bank and GE Capital.

Carl joined Aldermore Bank in 2013 to lead the Asset Finance Business as Managing Director.  In July 2015, Carl was promoted to become a Group Managing Director on Aldermore's Executive Committee, with responsibility for the Business Finance offering within Aldermore Bank.  He was also part of the senior management team that successfully listed Aldermore on the London Stock Exchange in 2015.  Carl left Aldermore to join White Oak in July 2019.

Carl started his career with General Electric (GE) within equipment financing in the UK.  He spent a little over ten years with GE in the UK where his final role with the company was the Chief Executive Officer for the Equipment Servicing Arm of the business.

After GE Carl joined Hydrex, a supplier of heavy plant machinery, as Chief Operating Officer subsequently becoming the Chief Executive Officer.  Following this he was UK Managing Director of Hitachi Capital Business Finance for a brief period prior to joining Aldermore Bank.

Carl has an expected start date that will not be later than 31^st March 2020.  Carl has previously held a number of controlled functions at FCA and PRA authorised entities, including an Executive Director function at Aldermore Bank Plc and Chief Executive function at a number of White Oak group companies.

Whilst completing this appointment has been an immediate focus for the Board, the Company's business remains robust and the Company announces today that the unaudited loan book for 31^st December 2019 was £208m. This represents annualised growth of 82% over the 12 months ended 31^st December 2018 which is a considerable achievement and the Board notes that the loan book could have been materially larger had further funding been available.

The Company has consistently detailed that its origination remains strong and that the delay to obtaining a bank licence will have an impact on the Company's ability to satisfy all the demand for its products.  This is likely to remain the case until at least the bank licence is secured.

Whilst the Company's lenders have been extremely supportive, the Board is conscious of managing the origination demand for the Company's products and thus it intends to ensure that the loan book's growth will stabilise until it has secured a bank licence.  Following this, however, the Company expects to implement its previously stated strategy exhibiting a growth path similar to that previously stated.  This pragmatic decision is likely to have a material impact on the Company's gross revenues for 2020, but to offset this slower growth plan, the Company is being appropriate as regards to costs, products, and pricing and as such the impact on the path to achieving profitability is more limited.

The Company's priority remains that of obtaining a bank licence and that task is on-going.  Whilst the Board remains confident of a successful outcome, certainty is not assured.  Meanwhile, the Company enters 2020 in confident mood buoyed by the strength and depth of its origination capabilities, the positive customer feedback that the Company receives and the undoubted momentum within the organisation itself.

John Baines, Chairman commented:

"We are delighted to have secured the talents of Carl at this pivotal moment for the Company as we continue to implement our wider business strategy.  Carl brings an enormous depth of experience to the Company and we are excited about the leadership that he will bring to the business."

The person responsible for arranging for the release of this announcement on behalf of DFC is Henry Kenner.

Enquiries:

Distribution Finance Capital Holdings plc

Henry Kenner, Acting Chief Executive Officer                                                     [phone]

http://www.dfcapital-investors.com 

Macquarie Capital (Europe) Limited (NOMAD and broker)

Alex Reynolds                                                                                                   [phone]

Jonny Allison

Blue Pool Communications (Financial PR)

Nick Lord                                                                                                          [phone]

Additional information required to be disclosed under Schedule Two of the AIM Rules

Mr Carl Mark D'Ammassa, aged 46, currently holds or has held the following directorships and partnerships over the last five years:

Current directorships	Past directorships
LDF Operations Ltd	AFS Group Holdings Ltd
LDF Ops Ltd	The Leasing Industry Philanthropic & Research Foundation Ltd
LDF Finance No.1 Ltd	AR Audit Services Ltd
LDF Finance No.2 Ltd	Rowden Acquisitions Limited
LDF Finance No.3 Ltd
White Oak UK No.4 Ltd
White Oak UK No.5 Ltd
Rowden Realisations 4 Ltd

Mr D'Ammassa is a director of Hydrex Equipment (UK) Ltd (renamed Rowden Realisations 4 Ltd) and was a director of Gorrel Trading Company Ltd (renamed Long Term Hire Dormant Ltd) which were placed into pre-pack administration on 17^th November 2011.  Following an extended period of challenging trading conditions the directors conducted a consensual work-out with secured lenders that saw the break-up of the Hydrex Group.  Mr D'Ammassa ceased to have on-going trading involvement with any Hydrex Group company from 17^th November 2011.  However, Rowden Realisations 4 Ltd, of which Mr D'Ammassa remains a director, whilst no longer trading, awaits final dissolution.

Mr D'Ammassa currently has no shares in the Company.

Except as disclosed in this announcement, no other disclosures are required in respect of the appointment of Mr D'Ammassa under paragraph (g) of Schedule Two of the AIM Rules for Companies.

 

END

 

 

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