St James’s Place says Lloyds will retain stake
Share
St James’s Place says Lloyds will retain its stake in the distributor after revealing a 60 per cent jump in half-year profits.
SJP says that the directors of the firm recognise that there has been growing uncertainty over the intentions of Lloyds Banking Group, which owns 60 per cent of SJP, and that discussions have taken place in which LBG has confirmed it remains a strong supporter of the business.
It says: “LBG has indicated that it has no intention to sell down, or dispose of, its stake in St. James’s Place at this time.”
Reports earlier this year claimed that SJP was placing pressure on Lloyds to sell its 60 per cent stake in the business, with shareholders concerned the firm was not reaching its potential under Lloyds.
SJP’s group operating profit for the first half of 2010 stood at £162.1m, up from the £101m in the first six months of 2009. New business profits also jumped 65 per cent to £100.9m, up from £61.3m in the first half of 2009.
Total new business also rose 44 per cent to £292.6m, while total single investments stood at £2.4bn, up 60 per cent. Funds under management now stand at £22.4bn with net inflows of new funds standing at £1.5bn, up from £1bn in the first half of 2009.
The group’s interim dividend also rose by 10 per cent to 2.025 pence per share. SJP has also seen a 3 per cent rise in partnership numbers since the start of 2010 with the total now at 1,506.
SJP chief executive David Bellamy says: ““I am delighted to be reporting another exceptional set of results. The strong growth in our new business, profits and net inflows are the result of the professionalism of our Partnership distribution, the breadth of our investment proposition and the dedication and commitment of our entire team.”
“Despite the economic and stock market uncertainty, we remain positive about our ability to deliver further growth for the remainder of the year albeit with a tougher comparative in the final quarter.”
If you enjoyed this article, sign up here to receive daily email updates from Money Marketing and Follow @_moneymarketing
