SAV Credit Limited has completed the purchase of a portfolio of credit card accounts from HSBC Bank plc for a consideration of approximately £385 million. The acquisition includes the marbles credit card brand and consists of 338,000 customer accounts.
The acquisition is funded by a new debt facility from The Royal Bank of Scotland and by SAV Credit’s existing private equity partners including Palamon Capital Partners, Electra Private Equity, and Morgan Stanley Alternative Investment Partners.
SAV, which was founded in 2001 as provider of credit cards to consumers who are overlooked by mainstream financial services providers, has already opened more than 150,000 credit card accounts for its lead product the aqua MasterCard and plans further expansion.
The company is managed by a specialist team from within the credit card industry and is built around information-based risk management techniques. SAV has developed its own underwriting and account management models which allow it to operate successfully in its target market.
This is a major landmark in the development of SAV Credit and we are delighted to have completed this major acquisition.
Richard Langstaff SAV Chief Executive Officer and founder
We have extensive experience of the credit card market and have built specialist expertise in growing and managing credit card portfolios. This deal enables us to transfer our expertise to the marbles brand.
We regard this deal as a vote of confidence from shareholders in our plans for expansion. We are delighted to welcome The Royal Bank of Scotland which has provided the debt facility for this deal.
We are fortunate to have a number of strong brands with which to grow our cards business in the UK.
Steve Britain Head of Consumer Cards, HSBC Bank plc
These include HSBC and first direct and, through our relationships with major retailers, M&S and John Lewis. The marbles and Beneficial brands are not a core part of this strategy, and accordingly, we are pleased to have sold the portfolios to SAV.
HSBC is one of the UK’s top four card issuers, with over 10 million cards in issue and receivables of £8 billion.
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For further information please contact:
Jonathan Flint / Kevan Reilly
Citigate Dewe Rogerson
Tel: 020 7638 9571
About SAV Credit
SAV Credit, a financial services business built by a management team from within the credit card industry, has developed the aqua credit card for the underserved market in the UK. SAV was founded in January 2001 by Chief Executive Richard Langstaff, who has held senior investment banking roles with Citibank and Deutsche Bank. SAV is chaired by John Crewe, a former President of International Marketing and Development, Global Financial Services Group at American Express. It is backed by management and a group of leading private equity investors including Palamon Capital Partners, Electra Private Equity and Morgan Stanley Alternative Investment Partners.
To find out more about SAV Credit visit www.savcredit.co.uk