Amigo Holdings slides as largest shareholder considers stake sale
Shares in guarantor loans lender Amigo Holdings slumped on Wednesday after the company's biggest shareholder, Richmond Group, said it was mulling the sale of some of its shares.
The venture capital firm said in a statement that it had been "investigating" a potential sale of part of its shareholding of about 61.4% in a placement, but has decided not to proceed with it right now.
However, the group said it "continues to actively consider selling some shares in Amigo".
"Richmond envisages remaining a significant shareholder in Amigo for the long term, but Richmond's intention to diversify its portfolio remains," it said.
At 1125 BST, Amigo shares were down 9.2% at 265.28p.