Douglas promenade in the day.

Manx Financial Group

LN: MFX

Market Cap£10m

Last Close 8.65p

Manx Financial Group is an independent banking group founded in 1935, domiciled in the Isle of Man. Its 100% owned bank, Conister Bank, is regulated by the UK’s Financial Conduct Authority (FCA) as well as the Isle of Man Financial Services Authority. MFX also owns Edgewater Associates, the largest independent financial advisory services company in the Isle of Man.

More Manx Financial Group content >

Investment summary

Manx Financial Group (MFG) has announced it is buying 50.1% of Payment Assist, a UK point-of-sale lender, for £4m. Through Conister Bank, MFG has provided Payment Assist with wholesale funding over seven years and seen the company grow. This acquisition continues MFG’s strategy of acquiring interests in high-quality specialist lenders. Payment Assist, which started business as an automotive repair point-of-sale finance provider, has been expanding and diversifying its lending business. Payment Assist management will remain on board, including the CEO and COO. The deal has an estimated price/book value of 1.8x but the goodwill (estimated at £1.75m) is readily absorbable by MFG’s capital (FY21 total capital ratio of 19.1%, tangible equity of £17.3m). Payment Assist had a £1.1m operating profit in FY21, which suggests the deal should be earnings enhancing from day one and backs MFG’s statement that no shareholder dilution is expected.

Content on Manx Financial Group
Manx Financial Group – Payment Assist acquisition
Financials | research Flash note | 17 May 2022
Stock market background or forex trading business graph chart for financial investment concept of Isle Of Man map. business idea and technology innovation design.
Manx Financial Group – Resilient, profitable and ready for growth
Financials | research Initiation | 7 March 2022
Stock market background or forex trading business graph chart for financial investment concept of Isle Of Man map. business idea and technology innovation design.
View more
Register to receive research on Manx Financial Group as it is published
Share price graph
Price performance
%
1m
3m
12m
Actual (3.9) (6.5) 8.1
Relative* 2.5 (0.6) 10.2
52-week high/low 9.2p/7.2p
*% relative to local index