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Sale of Cabot Financial April 2006
   
Cabot Financial Holdings Group sold in £275m Secondary Buy-Out

Nikko Principal Investments Limited (“NPIL"), the European principal finance arm of Nikko Cordial Corporation, has acquired the leading debt purchasing business in the UK, Cabot Financial Holdings Group(“Cabot”), in a £275 million transaction.

Cabot was established in 1998 and buys charged off debts from banks and other major lending companies including credit cards, loans, store finance, current accounts, mortgages and most other forms of available credit. The Company employs over 300 staff across the UK and currently owns 1.3 million customer accounts. Cabot has a 15 per cent share of the UK debt purchase market and in 2005 revenue was £55 million.

NPIL acquired Cabot from its existing shareholders Vision Capital and Barclays Private Equity.  Ken Maynard, Chief Executive, Glen Crawford, Managing Director and other senior management will be re-investing and importantly continuing in the business. Barclays Private Equity re-invested £25 million, alongside NPIL, with the mutual aim of supporting the continued development of Cabot in the UK and Europe. Vision Capital exited its minority position in full.

NPIL successfully acquired the business following an accelerated auction process, conducted by Lexicon Partners, in which  NPIL offered a complete funding solution, delivering its bid ahead of the original and revised bid deadlines.

NPIL and the senior management of Cabot intend to build on the successful growth of the business to date by supporting the Company’s expansion into Continental European markets.

Vision Capital is a limited liability partnership | Registered in England number: OC336240 | Authorised and regulated by the Financial Conduct Authority