Mercia Asset Management

LN: MERC

£113.7m market cap

37.5p last close

Mercia Asset Management is a regionally focused specialist asset manager. Its stated intent is to become the leading regional provider of supportive balance sheet, venture, private equity and debt capital in transaction sizes typically below £10m.

Investment summary

In this interview Mark Payton, Mercia’s CEO, discusses the latest FY19 results, the rationale for the group’s rebranding to Mercia Asset Management and the outlook for the business in FY20. We also invited the three fund principals responsible for venture (Will Clark), private equity (Wayne Thomas) and debt (Paul Taberner) to outline the positioning, track record and opportunities that lie ahead for their respective business areas.

Y/E Mar
Revenue (£m)
EBITDA (£m)
PBT (£m)
EPS (p)
P/E (x)
P/CF (x)
2018A 10.2 (0.4) 3.5 1.17 32.1 N/A
2019A 10.7 (1.4) 3.0 1.00 37.5 N/A
2020E N/A N/A N/A N/A N/A N/A
2021E N/A N/A N/A N/A N/A N/A
Last updated on 18/07/2019
Industry outlook

Investor sentiment towards the IPC sector in general has remained negative with stocks typically trading at a meaningful discount to NAV. In 2019, investor frustration at a lack of material exits/value realisation across the sector are only likely to intensify leading to greater differentiation between stocks that offer the potential for meaningful exits in a realistic timeframe and those that do not.

Last updated on 18/07/2019
Sector
TMT
Share price graph
Balance sheet
Forecast net debt (£m) N/A
Forecast gearing ratio (%) N/A
Price performance
%
1m
3m
12m
Actual 10.3 4.2 19.1
Relative* 9.5 4.1 23.0
52-week high/low 38.7p/27.5p
*% relative to local index
Key management
Dr Mark Payton CEO
Martin Glanfield CFO
Julian Viggars CIO