Pioneer Credit Limited (ASX: PNC) has addressed recent market speculation surrounding its share price volatility, including a significant sell-down of approximately 3.1 million shares yesterday and a cross of around 1.8 million shares this morning. The company clarified that a family office is actively reducing its stake due to external portfolio pressures unrelated to Pioneer’s performance or prospects.
Pioneer emphasized that the share price movement, whether positive or negative, has no legal or contractual implications for the company. It stated it has no financial covenants tied to its share price, remains comfortably within its existing covenants, and possesses substantial cash reserves, operational cash flow, and readily available funding to achieve its FY25 and FY26 targets. The company also confirmed its adherence to continuous disclosure obligations under ASX Listing Rule 3.1.
Chairman Stephen Targett highlighted the ongoing availability of substantial Purchased Debt Portfolio (PDP) investment opportunities from reputable vendors, boasting attractive margins and a high-quality customer base with a strong payment propensity. The Board of Directors reaffirmed its FY25 PDP Investment guidance of $90 million and a minimum Net Profit After Taxation (NPAT) of $9 million. Furthermore, the FY26 guidance remains at a Statutory Net Profit after Taxation of at least $18 million.
