Waterfall delays takeover of Pollen Street Secured Lending, again

By Aisling Finn on Friday 19 June 2020

Alternative Lending

The proposed takeover of Pollen Street Secured Lending was first revealed on 25 February 2020.

Waterfall delays takeover of Pollen Street Secured Lending, again
Image source: Bongkarn Thanyakij/Pexels

 

Waterfall Asset Management has delayed its proposed takeover of Pollen Street Secured Lending (PSSL) for the fifth time.

The deal, which has been on the table since late February, has now been pushed back until 14 July 2020.

In an RNS statement published earlier this week, Waterfall said it “remains committed to pursuing the possible offer.”

The stock market update also noted that, in lieu of the offer being finalised, shareholders are “minded to support an orderly run-off of the Company's assets and return of capital to shareholders.”

When the deal was first proposed in February, PSSL's share price jumped to 884p, but following the first extension of the deadline in March 2020, the share price nearly halved to just 432p.

Since then, the share price has remained fairly steady, currently sitting at 719p, a slight increase from the start of the week where it sat at 690p.

The news comes as tensions continue between the PSSL and its manager, Pollen Street Capital, 

As news first broke of a possible offer in February, PSSL accused Pollen Street Capital of "serious governance issues".

Since then, PSSL has threatened legal action against Pollen Street Capital, after the latter reportedly failed to provide key documents needed for the takeover.

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