Investment column, page 22Reuse content
Cattles, the consumer finance group, has sold its remaining 23 per cent stake in Rosebys, the retailers of household textiles, for pounds 23.1m, equal to 275p a share. The sale realises a profit of pounds 15.7m before tax and expenses, and completes the disposal of non-core businesses begun in 1992. The sale had timed to take advantage of a rare opportunity when it had been possible for a major stakeholder to sell, Eddie Cran, chief executive, said. The consumer finance sector has fallen 5 per cent following reports of Government plans to curb high credit charges. However, the City believes any action to curb penalty charges levied by non-status lenders such as City Mortgage Corporation should not apply to home credit companies such as Cattles and the market leader, Provident Financial. Rosebys fell 2.5p to 297.5p and Cattles 3.5p to 311p.