Thu, May 7, 9:24 AM
Wed, Feb. 4, 10:17 AM
Dec. 23, 2014, 12:45 PM
Nov. 4, 2014, 10:08 AM
Aug. 6, 2014, 11:07 AM
Jul. 2, 2014, 7:35 AM
- Additionally, company founder Peter Vosotas resigned from the chairman's role late last month, and he's been replaced by CEO Ralph Finkenbrink, with Nicholas (NICK) saying the resignation was for personal reasons and not over any disagreement with company policy.
- Nicholas last month pulled the plug on a sale of the company to Prospect Capital (PSEC) as the SEC's investigation of an accounting issue at Prospect had pushed off the closing.
- Source: Press Release
Jun. 12, 2014, 3:05 PM
- With certain conditions required to consummate the sale of the company to Prospect Capital (PSEC +0.7%) not met ahead of the June 12 termination deadline, Nicholas Financial (NICK -6%) pulls the plug on the deal.
- Prosepct had previously said it didn't expect to close on the transaction as a result of the SEC investigation into its accounting methods, but had hoped to amend its agreement with Nicholas.
- Source: Press Release
- Previously: Prospect wins appeal with SEC; no restatement necessary
May 23, 2014, 11:52 AM
May 7, 2014, 10:05 AM
- Prospect Capital (PSEC -1.3%) opens lower after ho-hum earnings and the disclosure of the SEC's order to restate financials to consolidate on its balance sheet those companies in which Prospect has more than a 50% interest.
- The disclosure was dug out of Prospect's 10-Q by Seeking Alpha author Lawrence Zack Galler, who finds it curious the company has not done so previously. Not only does Prospect not consolidate these entities, says Geller, but it says it should be able to count interest income on loans owed effectively to itself.
- Prospect also elects not to consolidate debt owed to others by these companies which stands senior to Prospect's claims, says Geller. "Such debt is material."
- Prospect intends to appeal the SEC ruling.
- In light of the SEC action, Prospect does not expect the Nicholas Financial (NICK -0.9%) deal to close before the termination date of June 12. Prospect is in talks to amend the current agreement.
- The company earnings call is set for 11 ET.
- Previously: More on Prospect Capital Q1 results
Feb. 4, 2014, 5:15 PM
Dec. 18, 2013, 8:10 AM
- Prospect Capital (PSEC) agrees to acquire specialty finance company Nicholas Financial (NICK) for $16 per share. The purchase is expected to close in April 2014 and the Nicholas board has approved the deal.
- For about $199M, Prospect will be acquiring 100% of Nicholas' common stock and any outstanding options on the common. Nicholas' debt amounts to $127M, putting the total deal value at about $326M.
- After the close, Prospect will recap the business using a new $250M line of credit. This will repay Nicholas' existing debt and return a portion of Prospect's capital. Following, Prospect will have a net investment of about $139M.
- After the close, Prospect expects Nicholas to pay out about all of its net income to Prospect on an ongoing basis. For the year ended September, Nicholas generated pre-tax income of $31.8M. Prospect generated about $220M.
- PSEC +0.7% premarket, NICK closed at $15.28 last night.
- Press release
Oct. 31, 2013, 11:08 AM
Aug. 13, 2013, 3:20 PM
May 10, 2013, 9:13 AM
Mar. 21, 2013, 12:57 PM
Feb. 19, 2013, 5:44 PM
NICK vs. ETF Alternatives
Nicholas Financial Inc, through its subsidiaries, is engaged in acquiring and servicing contracts for purchases of new and used automobiles and light trucks, as well as makes direct loans and sells consumer-finance related products.
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