TFC-NSB transaction:

No impact on company or depositors

The public should be assured that TFC would not be affected by the recent TFC-NSB transaction, which is strictly a private affair between the owners of the shares and NSB, and has no impact on TFC or its depositors. The Finance Company PLC is a 72 -year- old company and holds the prestige of being one of the pioneering non bank finance organisations in the country.

The firm has been known to have led the market in many aspects with a range of innovative business avenues such as real estate and super speed vehicle loans.

During the time when finance companies the world over were facing strife few years ago, The Finance Co. PLC managed to stand tall to retain and safeguard the interests of its loyal customers. Moreover, it was also able to conduct a successful share issue through which it obtained the direct backing of many major public and private sector institutions such as the Bank of Ceylon, the People’s Bank and the Seylan Bank, who now hold a major stake of the company bearing evidence to its credibility.

The loan disbursements of the company have seen accelerated growth of 123 percent in 2011/12 compared to 2010/11.

Whilst the new deposit intake has been on the upward trend with a year on year growth of 170 percent for fixed deposits and 54 percent for savings, there has been a high percentage of deposits being reinvested with the company at maturity.

The company enjoys its status as the custodian of one of the largest deposit bases in the non bank finance sector of the country amounting to over Rs 20 b.

Moreover, The Finance Co. PLC was able to conclude operations for the month of April recording an inflow of Rs one billion as new deposits apart from renewals.

This is a clear indication of the public confidence placed on the organisation.

Pawning being a main contributor to the company’s bottom line has recorded a year-on-year growth of 237 percent.

The real estate sector, given its maturity as a longstanding strategic profit centre has shown an a growth of 350 percent

The recent land sale projects of the company have proved to be successful providing good returns, while offering the lands to the customer at the market price or even below with sound infrastructure due to the companies' bargaining power over the suppliers.

The Finance Company PLC has forged ahead at great pace over the many obstacles it has come across and looks to a future which will be strong to serve all its stakeholders .

The Finance Company PLC, with over seven decades of excellence in the industry is at present backed by state banks.

The company has employed the services of an internationally reputed agency to restructure the organisation, which is now being implemented to serve its customers with many value additions to maintain it's market leadership.

This reiterates the fact that the company is in safe hands and on a sound footing towards sustainable growth.