Cabot Credit Management (CCM), a market leader in European credit management services has announced the financial results for the six months ended 30 June 2017.
Ken Stannard, Chief Executive Officer, CCM said “Cabot continued to deliver on its track record of consistent growth with a strong start to 2017. Our Adjusted EBITDA for the first half of 2017 has increased 18% compared to the same period in 2016, from £117.9m to £139.0m, said Ken Stannard, Chief Executive Officer, CCM. Subsequent to the end of the period, CCM has entered into an agreement to acquire FCA-authorised Wescot, a leading UK contingency debt collection and business process outsourcing (BPO) services business.”
“To fund this acquisition and refinance existing debt, our 100% indirectly owned subsidiary, Cabot Securitisation UK Limited, has signed a £260 million Asset Backed Senior Facility (the “Facility”). The Facility is non-recourse to Cabot and has an initial size of £260 million, with a £90m accordion. It has a 5-year legal maturity and an advance rate of 57% of 84 month Estimated Remaining Collections (ERC) and a margin of 1 month Libor plus 285 basis points.”
Additional half year highlights for Cabot Credit Management
Business strategy and operations
Key financial results | Half Year to June 2016 | Half Year to June 2017 | % Change |
Adjusted EBITDA | £117.9m | £139.0m | +18% |
120 month ERC | £2.1bn | £2.2bn | +6% |
Debt Purchase Collections | £175.9m | £195.2m | +11% |
Servicing Revenue | £12m | £14.2m | +18% |