Directorate Change

RNS Number : 5195K

Secure Trust Bank PLC

05 January 2021

 

PRESS RELEASE

Secure Trust Bank PLC

LEI: 213800CXIBLC2TMIGI76

5 January 2021

For immediate release

  SECURE TRUST BANK PLC

Appointment of Chief Executive Officer and Directorate Change

Secure Trust Bank PLC ("STB" or the "Company") announces the appointment of David McCreadie as Chief Executive Officer of the Company with effect from 5 January 2021. David is an experienced banker, who has worked in financial services for more than 30 years, and has been an independent Non-Executive Director of STB since 17 December 2019.

David will succeed Paul Lynam who, after more than 10 years in the role, has notified the Board of his decision to resign and leave the Group to become Chief Executive Officer at Equiniti Group plc. Paul will step down from the Board with effect from 5 January 2021, but will remain with the Group in an executive capacity until 31 March 2021, to support the orderly handover to David.

David started his career at The Royal Bank of Scotland (RBS), holding roles in Branch Banking, several Group central functions and Consumer Finance, becoming CEO of Kroger Personal Finance, a joint venture between RBS and the Kroger Co, based in Cincinnati. David joined Tesco Personal Finance in 2008 and was a member of the executive team that built Tesco Bank. He was an Executive Director and Managing Director, Tesco Bank from 2015 to 2019.

The Financial Conduct Authority and the Prudential Regulation Authority have been notified of the appointment of David McCreadie, which is subject to regulatory approval.

As a result of these changes STB also announces that the Board has commenced a process to recruit an additional Non-Executive Director.

While market guidance remains suspended as a result of the continuing uncertainty about the economic effects of the pandemic, the view of the Board remains as set out in the trading update made on 22 October 2020 that the Group is trading ahead of current consensus profit before tax of £7.3 million, with the full year consensus ranging from £5.6 million to £9.7 million. A pre close trading update will be made as usual on 21 January 2021.

Commenting on today's announcement, Lord Forsyth, Chairman, said:

"David brings substantial banking, personal finance, consumer facing business and governance experience acquired in his previous roles, as well as deep knowledge of the markets in which we operate. His appointment, in line with the Board's succession plan and following a year as a Non-Executive Director, marks the start of a new chapter in the STB story as we emerge from a turbulent year.

"On behalf of the Board I would like to thank Paul Lynam for his leadership of STB and his contribution during a period of significant growth and development for the group. STB is today a well-capitalised bank with strong positions in attractive market segments and very high customer satisfaction, well-placed to grow in the years ahead. When the time comes Paul will leave with our best wishes as he moves to take on his new role.

David McCreadie, incoming Group CEO, said:

" I am delighted to be appointed as Chief Executive Officer of Secure Trust Bank. Since joining the Board I have got to know the business well and have been hugely impressed by how the whole Group, under Paul's leadership has navigated the unprecedented circumstances of 2020.  They have done so with a relentless focus on supporting both our customers and each other and I look forward to building on that momentum as I take the group forward.

"Despite the challenges that we continue to face as a result of the pandemic, I am confident the group is well positioned to grasp the opportunities that lie ahead of us."

Paul Lynam, outgoing Group CEO said:

" Over the last decade I have enjoyed working with the group, its shareholders and staff, providing a great customer experience and building it into the successful bank that it is today.  

Having safely and profitably weathered the COVID storm in 2020, the group is a strong position to take advantage of the organic growth and M&A opportunities that will arise in the early phases of next economic cycle, as was the case after the Global Financial Crisis. I have concluded this is an appropriate time to pass the reins to a new CEO to lead the group during this coming cycle. David is an excellent choice as my successor. I have known David for a number of years and know he'll do a great job going forward.

I am especially grateful for the support of our highly dedicated and professional colleagues. They are a fantastic team and the special STBG culture means I am very confident the group will enjoy continued success in the coming years."

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.  Further biographical information and the remuneration for David McCreadie, and the leaving remuneration for Paul Lynam will be available on our website.

‐ENDS-

Enquiries:

Secure Trust Bank PLC

Lord Forsyth, Chairman

Rachel Lawrence, Chief Financial Officer

Mark Stevens, Company Secretary

Tel: [phone]

Stifel Nicolaus Europe Limited (Joint Broker)

Robin Mann

Gareth Hunt

Tel: [phone]

Canaccord Genuity Limited (Joint Broker)

Emma Gabriel

Tel: [phone]

Notes

About the Company:

Secure Trust Bank is an established, well‐funded and capitalised UK retail bank with a 68 year trading track record. Secure Trust Bank operates principally from its head office in Solihull, West Midlands, and had 972 employees (full‐ time equivalent) as at 30 June 2020. The Group's diversified lending portfolio currently focuses on two sectors:

(i)  Business Finance through its Real Estate Finance, Asset Finance and Commercial Finance divisions,

(ii)  Consumer Finance through its Motor Finance, Retail Finance, Debt Collection and Consumer Mortgages divisions

As at 30 June 2020 the Group's loans and advances to customers totalled £2,377.5 million, customer deposits totalled £1,999.2 million and the Group's total customer base was well over 1.6 million.

Secure Trust Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.

Secure Trust Bank, PLC, One Arleston Way, Solihull, B90 4LH.

 

END

 

 

BOAUPUCPGUPGGBC