AI assistant
Slovar Limited — Capital/Financing Update 2014
Jun 25, 2014
17773_rns_2014-06-25_7d5d0a2a-bb41-4253-9a86-c4523b20b0c7.pdf
Capital/Financing Update
Open in viewerOpens in your device viewer
money3
Corporation Limited Level 1 40 Graduate Road Bundoora Vic 3083 – Tel: (03) 9093 8255 Fax: (03) 9093 8227
Managing Director Address 26 June 2014
Profit Upgrade
The board of Money3 Corporation Ltd (Money3) are pleased to upgrade our forecasted normalized profit for FY2014 from $9M to $10M before tax.
Strong 4th quarter revenue and collections in secured lending, stable organic growth in the Money3 branch network and meaningful contribution from the acquired Cash Store branch network has flowed through to profit growth.
$30M Bond Issue
Today sees the completion of the $30M Bond issue and the ratification of the attached options. This funding will fuel the continued growth of the secured lending division of Money3 and drive earnings per share growth.
In further strengthening of the secured division the securitized bank facility of $20M is in final stage of legal documentation.
The board is aware that the securitized facility has been a long time coming and moved accordingly to bring forward the alternative funding from this bond issuance. Between the bond issuance and the $20M Bank facility Money3 has sufficient capital requirements for the foreseeable future.
As a result of this, further equity raising will not be necessary unless an unanticipated corporate opportunity presents itself. Currently no such opportunity is evident.
Outlook
Money3 have an almost perfect storm in place with organic growth producing steadily increasing sales, strong growing teams and systems and now debt funding to fuel the growth. With the current momentum and run rate, FY2015 will see records of both revenue and profit exceeded again.
The board and executive team are grateful for the support that shareholders have demonstrated in today's vote and their investment in Money3 and we are committed to delivering the anticipated results.
Thank you also to the dedicated staff at Money3 who by their results have inspired confidence in the investment community.
Rob Bryant
Managing Director
MONEY3 Corporation Limited
ABN: 63 117 296 143
Registered Office: Level 1, 48 High St. Northcote, Vic 3070