Stockbroker Panmure Gordon swings back into profit
Panmure Gordon, the City stockbroker being taken over by a consortium which includes former Barclays boss Bob Diamond, has swung back into profit.
The firm said full-year pre-tax profit came in at £1.5 million, compared with an £18.8 million loss last year.
Growth was driven by a 41% increase in corporate finance and other fee income to £18 million and a 22% rise in net commission and fee income to £28 million.
Chief executive Patric Johnson said: "2016 was a year of consolidation and focus for the core business as we continued implementing our sector-based corporate-driven model accompanied by our unwavering commitment to quality in everything that we do.
"We have returned four successive quarters of profitability, made a significant strategic investment, re-established our US broker dealer and concentrated on ensuring we match our service expectations with our clients' requirements."
However, Mr Johnson added that the 2017 macro landscape continues to be "challenging".
Last month Panmure revealed that Mr Diamond is making a bid for the firm through his private equity firm Atlas Merchant Capital, alongside Qatari bank QInvest, which holds around 43% of Panmure.
The deal, for 100p per share, values Panmure at £15.5 million and represents a 68% premium.
Panmure's board has recommended the offer to shareholders who will vote on the deal.
Once complete, the deal will see Panmure, one of the country's oldest stockbrokers, delisted from the London market and taken private.
The move marks a comeback for Mr Diamond, who quit Barclays after the bank's £290 million Libor-rigging settlement in 2012.