Business
Banking Licence & Business Trading Update
Banking Licence & Business Trading Update.
About this update from Distribution Finance Capital Holdings Plc
[{"type":"text","content":"\n \n \n RNS Number : 4329V\n Distribution Finance Cap. Hldgs PLC\n 06 August 2020\n \n \n \n \n \n \n \n 7 August 2020\n \n \n \n \n \n THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATION (EU) NO.596/2014.\n \n \n \n \n \n Distribution Finance Capital Holdings plc\n \n \n \n (\"DFC\", \"DF Capital\" or the \"Company\" or together with its subsidiaries the \"DFC Group\")\n \n \n \n \n \n \n \n Banking Licence and Business Trading Update\n \n \n \n \n \n Banking Licence Application\n \n \n \n \n \n Pursuant to the Company's resubmitted banking licence application, the Company has received confirmation from the Prudential Regulation Authority (\"PRA\") of its Total Capital Requirement (\"TCR\") and Liquidity Coverage Ratio (\"LCR\") in relation to that application. Receiving TCR and LCR notifications, setting out the Company's capital and liquidity regulatory requirements, are key steps in the Company's banking licence application. \n \n \n \n \n \n However, following feedback from the PRA in relation to the firm's application for its share capital to be classified as CET1, the Company will take certain reorganisation steps in respect of parts of the existing share capital within the Group, which will be carried out before any final authorisation decision will be considered by the PRA.\n \n \n \n \n \n The Company has developed a plan to achieve these steps in discussion with the PRA. Details of the proposals will be set out in a shareholder circular, to be sent by the end of August, requesting shareholder approval for the buyback and cancellation of certain existing shares and issuance of new shares held by managers and former managers totalling less than 5% of the Company's issued share capital. No additional new equity capital will be raised in connection with the proposals. \n \n \n \n \n \n The Company expects to receive the requisite support from shareholders for these reorganisation proposals at a General Meeting to be held in early September, and expects that the reorganisation steps will be completed in full by mid-September 2020. Following this, the Group expects to receive notification of the PRA's decision in respect of its application by the end of September. \n \n \n \n \n \n  ...