Slaughter and May is advising Non-Standard Finance plc - acquisition of Everyday Loans Holdings Limited

Slaughter and May is advising Non-Standard Finance plc (NSF) on the acquisition of Everyday Loans Holdings Limited (Everyday Loans) from Secure Trust Bank PLC (STB) (the Acquisition) and NSF's associated placing and open offer (the Placing and Open Offer) and debt financing.

The consideration payable for the Acquisition is £215 million in cash (approximately £108 million of which will be used to repay intercompany debt) and the issue to STB of NSF shares to a value of £20 million. The Acquisition is conditional on, among other things, FCA approval and is expected to complete in the first quarter of 2016.

NSF is proposing to raise gross proceeds of approximately £160 million by way of the Placing and Open Offer, substantially all of which will be used to fund the Acquisition and associated fees, costs and expenses.

The Acquisition will also be funded through a £30,000,000 term loan facility and a £55,000,000 revolving credit facility, and the revolving credit facility will also be used to support the general working capital needs of the Everyday Loans group.

NSF undertook an IPO in February 2015 and has been established to acquire and operate non-standard consumer finance businesses. The Acquisition is NSF's second major transaction since the IPO, having acquired S.D. Taylor Limited in August 2015.