Latest news with #H&T
Telegraph
20-05-2025
- Business
- Telegraph
Takeover deals confirm our instincts were right on these three stocks
Questor is The Telegraph's stock-picking column, helping you decode the markets and offering insights on where to invest. It has taken a long time but our patience looks to finally get its reward with pawnbroker and jewellery seller H&T, which is on the receiving end of a bid from America's FirstCash. After fending off three prior proposals from FirstCash, H&T's board is recommending this one, which comprises 650p a share in cash and the final 11p-per-share dividend for a total of 661p. That will take our total return on the stock, including dividends, to over 120pc. We first took an interest in H&T five years ago during the pandemic and resulting lockdowns as we sought out business models suited to weathering an extremely difficult economic environment. We also eyed shares that came on lowly valuations, to provide an additional layer of downside protection. The Aim-quoted company fitted the bill admirably, not least as the shares traded on barely seven times earnings, offered a forward dividend yield of more than 5pc and came on barely one times net asset value (Nav) at the time. The subsequent returns therefore help to justify this column's value-driven methodology, helped by the 44pc premium to the undisturbed share price implied by FirstCash's offer – a figure which compares to the average 35pc premium across nearly 30 ongoing or closed takeover situations involving UK-listed companies in the year to date. Even the 661p offer price values H&T on just 11.7 times forecast earnings for 2025 and implies a forward dividend yield of 2.8pc. Based on those numbers it is easy to see why FirstCash should swoop on H&T's strong competitive position and robust financials. H&T was trading at a tiny premium to its book value per share of 442p before the bid, even though it was generating a post-tax return on tangible equity of 15pc. Questor says: Hold – we shall tip our hat to H&T when the deal closes and move on Ticker: HAT:AIM Share price: 644p Update: Care Reit H&T is not the only portfolio pick to have received a bid this year. Assura is one and Care Reit is another. In the latter case, the New-York listed CareTrust Reit brought a cash bid of 108p per share on March 11 – and the deal became effective on May 9. The shares ceased to trade last Monday, May 12, and investors should receive their cash by May 23 at the latest. The bid vindicates our faith in Care Reit's business model but we ended up with a small capital loss, for which 16.99p per share in dividends just compensated – as we paid one times book value upon entry back when the company was known as Impact Healthcare Reit. The combination of a surge in interest rates and that fairly full price tag is the reason we ultimately made only a modest total return on investment. As ever, the lesson is to be more careful when it comes to the valuation paid to access a share of a company's cashflows and assets. Questor says: It could have been better, but the fault was ours. Neither buy, hold nor sell as the shares are delisted. Update: Fresnillo Hopes for an easing in trade tensions and a clearer economic outlook are leading to some profit taking in gold and silver but we remain content to stick with shares in Fresnillo, the world's largest silver miner, for two reasons. First, the US government bond, or Treasury, market continues to see an increase in yields. This smacks of bond vigilantes worrying about the inflationary implications of president Trump's planned tax legislation. The so-called 'Big Beautiful Bill' looks set to substantially increase the American federal deficit thanks to new tax cuts and the extension of existing tax breaks. Silver, as a real, physical asset could offer some protection against inflation and any eventual money printing or monetary system reset designed to help the US make its borrowing more manageable. Second, to continue the M&A theme, Pan American Silver has recently launched a $2.1bn (£1.5bn) cash-and-stock bid for MAG Silver. The target's main asset, alongside two exploration projects, is a 44pc stake in the Juanicipio silver mine in Mexico, where the owner of the other 56pc is none other than Fresnillo, which also operates the site. The price tag values MAG at 3.5 times historic net asset, or book, value, while Fresnillo trades on just 2.3 times. Fresnillo has seven other producing sites, so it is now a pure play on Juanicipio, but that mine generates just under a fifth of Fresnillo's output and revenues – and the offer price for MAG Silver does suggest that the FTSE 100 index member is cheap by comparison. Ticker: FRES Share price: £10.26
Yahoo
14-05-2025
- Business
- Yahoo
London stock close lower as miners hit by slumping gold price
London top index took a step back on Wednesday from a month-high, as metal stocks were dented by slumping gold prices. It came amid a weaker session from commodity firms, while a negative reception to updates from Experian and Imperial Brands also proved to be a drag. The FTSE 100 finished down by 0.21%, or 17.91 points, to close at 8,585.01. It comes ahead of key UK economic growth figures on Thursday morning, which are expected to show a 0.6% increase in GDP over the first quarter. The other major European markets also drifted further into the red during trading on Thursday. The Cac 40 ended 0.47% lower for the day and the Dax index was down 0.57%. Stateside, US equities had a mixed start to trading, with tech-focused Nasdaq starting slightly higher, as it benefited from rises for Nvidia and AMD. Chris Beauchamp, chief market analyst at IG, said: 'Investors continue to pile back into US markets, but European markets have seen some losses today. 'Having returned to record highs, the Dax looks vulnerable to some short-term selling, while the FTSE 100 seems to have a ceiling for the time being around 8600. 'Nonetheless, the tariff truce and cooling inflation should continue to underpin gains for stocks in the weeks to come.' Meanwhile, sterling was a touch lower at the close after early gains against the dollar were entirely wiped out. The pound was 0.06% lower at 1.329 US dollars and was down 0.14% at 1.187 euro when London's markets closed. In company news, Burberry shares shot higher after the luxury fashion firm unveiled plans to axe nearly a fifth of its global workforce, including UK factory workers, in a bid to slash costs and return to profit. Shareholders welcomed the proposals to cut about 1,700 jobs worldwide over the next two years in an effort to reverse recent losses. Burberry shares lifted by 17% to 967.6p at the close of trading, marking its highest level for two months. JPS and Gauloises maker Imperial Brands finished firmly lower after its boss said he will retire after five years leading the tobacco giant. The London-listed firm said Lukas Paravicini, the company's current chief financial officer, will replace Stefan Bomhard as chief executive on October 1. Shares dropped by 7.3% to 2,680p as investors digested the surprise departure of the successful chief. Pawnbroker H&T rocketed in value after it agreed to be the latest UK-listed firm to be taken private by a US buyer. H&T said on Wednesday that it had accepted an offer from Texas-based FirstCash to buy the company for £297 million. Shares rose by 40.6% to 644p. Elsewhere, the price of oil pulled back slightly from Tuesday's highs, which had benefited from progress in trade talks between the US and China. A barrel of Brent crude oil was 0.92% lower at 66.02 dollars (£49.65) as markets were closing in London. The biggest risers on the FTSE 100 were: Entain, up 26.8p to 790.8p; Airtel Africa, up 5.5p to 174.6p; Mondi, up 38p to 1,226.5p; Marks & Spencer, up 9.8p to 355.2p; and Beazley, up 18.5p to 893p. The biggest fallers on the FTSE 100 were: Imperial Brands, down 210p to 2,680p; Spirax, down 395p to 6,190p; Experian, down 114p to 3,868p; Fresnillo, down 28.5p to 981.5p; and Compass Group, down 66p to 2,540p. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
14-05-2025
- Business
- Yahoo
FirstCash Enters UK Market With $394 Million Acquisition Of H&T Group
FirstCash Holdings, Inc. (NASDAQ:FCFS) is expanding into the U.K. with the acquisition of H&T Group plc, the country's largest pawnbroker chain. The Texas-based pawnshop operator announced on Wednesday it will purchase all outstanding H&T shares through its U.K. subsidiary, Chess Bidco Limited, in an all-cash deal valued at approximately $394 million. The agreement includes a payment of 650 pence per share and a final dividend of 11 pence per share, payable in late June. The acquisition strengthens FirstCash's global footprint, adding 285 U.K. stores to its existing network and positioning the company as the largest publicly traded pawn operator across the U.S., Latin America, and the CEO and Vice-Chairman Rick Wessel said the acquisition aligns with the company's long-term strategy and praised H&T's strong brand and experienced leadership. H&T CEO Chris Gillespie called the deal a testament to the company's success and a new chapter for growth under FirstCash's ownership. Beyond geographic expansion, FirstCash expects to benefit from operational efficiencies and scale. The company anticipates the acquisition will boost earnings per share and EBITDA, supporting its broader international strategy. Upon completion, the combined business will operate more than 3,000 pawn locations worldwide, with the potential for further expansion into additional European markets. FirstCash held cash and cash equivalents of $175.095 million as of December 31, 2024. Price Action: FCFS stock is down 2.14% to $129.91 premarket at last check on Wednesday. Image by – Yuri A via Shutterstock Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? FIRSTCASH HLDGS (FCFS): Free Stock Analysis Report This article FirstCash Enters UK Market With $394 Million Acquisition Of H&T Group originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
South Wales Argus
14-05-2025
- Business
- South Wales Argus
Pawnbroker H&T snapped up by US firm in another loss for London Stock Exchange
H&T said on Wednesday that it had accepted an offer from Texas-based FirstCash to buy the company for £297 million. Founded in 1897, the UK's largest pawnbroker has more than 270 shops across England, Scotland and Wales, and has already received several offers from FirstCash. The most recent represents 661p for each H&T share, representing a 44% premium to the group's closing share price on Tuesday. H&T chief executive Chris Gillespie said the deal has a 'compelling strategic rationale, bringing together two businesses with complementary offerings'. 'It's clear to us that FirstCash has full appreciation of our capabilities, the dedication of our employees, commitment to the customer and with their backing and support, I am confident H&T will have an extremely bright future.' The deal will mean another major UK-listed company leaving the London stock exchange (PA) FirstCash chief executive Rick Wessel said the deal 'provides an entry into a significant new market, which we believe will unlock additional growth opportunities'. Pawnbrokers are frequently seen as a proxy for how much financial strain households are under. And H&T has enjoyed a booming trade of late, welcoming record new customer numbers in the final months of last year. The cost of living crisis, sparked by rampant inflation through 2022 and 2023, has put pressure on consumers, pushing more people to turn to pawnbrokers. FirstCash has more than 3,000 retail locations, mainly across the US and Latin America, and employs about 18,000 people. Its acquisition of H&T marks yet another instance of a major UK-listed company leaving the London Stock Exchange, following the likes of tech firm Darktrace and Paddy Power-owner Flutter. H&T chairman Simon Walker said: 'Following careful consideration, the H&T Directors have unanimously concluded that they intend to recommend this offer, considering it to be in the interests of all our shareholders and wider stakeholders.'
Glasgow Times
14-05-2025
- Business
- Glasgow Times
Pawnbroker H&T snapped up by US firm in another loss for London Stock Exchange
H&T said on Wednesday that it had accepted an offer from Texas-based FirstCash to buy the company for £297 million. Founded in 1897, the UK's largest pawnbroker has more than 270 shops across England, Scotland and Wales, and has already received several offers from FirstCash. The most recent represents 661p for each H&T share, representing a 44% premium to the group's closing share price on Tuesday. H&T chief executive Chris Gillespie said the deal has a 'compelling strategic rationale, bringing together two businesses with complementary offerings'. 'It's clear to us that FirstCash has full appreciation of our capabilities, the dedication of our employees, commitment to the customer and with their backing and support, I am confident H&T will have an extremely bright future.' The deal will mean another major UK-listed company leaving the London stock exchange (PA) FirstCash chief executive Rick Wessel said the deal 'provides an entry into a significant new market, which we believe will unlock additional growth opportunities'. Pawnbrokers are frequently seen as a proxy for how much financial strain households are under. And H&T has enjoyed a booming trade of late, welcoming record new customer numbers in the final months of last year. The cost of living crisis, sparked by rampant inflation through 2022 and 2023, has put pressure on consumers, pushing more people to turn to pawnbrokers. FirstCash has more than 3,000 retail locations, mainly across the US and Latin America, and employs about 18,000 people. Its acquisition of H&T marks yet another instance of a major UK-listed company leaving the London Stock Exchange, following the likes of tech firm Darktrace and Paddy Power-owner Flutter. H&T chairman Simon Walker said: 'Following careful consideration, the H&T Directors have unanimously concluded that they intend to recommend this offer, considering it to be in the interests of all our shareholders and wider stakeholders.'
