A COMPANY that started eight years ago with a mere six members of staff is set to make £100 million from a bumper business deal.
Watford-based Loans.co.uk which was recently voted tenth in The Sunday Times' top 100 companies to work for has been sold to MBNA, one of the world's largest independent credit card lenders.
The deal is expected to make its directors, Steve Hayes and David Cowham, two of the town's richest businessmen and give the company a monthly profit of £2m, Mr Hayes said: "During the latter part of last year, we began to think about our longer term plans. We took a long look at what it would take to be a pre-eminent player in our business in ten years' time.
"Nothing frightened us, but we asked ourselves if we could get to where we wanted a faster and fitter business with a partner. We concluded the answer was yes."
Under the agreement, MBNA will acquire the outstanding shares of Loans.co.uk and operate the business as a subsidiary. The Loans.co.uk management team and existing employees will join MBNA and continue to operate the business from the existing facilities.
Loans.co.uk will continue to serve existing customers and partners, and the company's role as sponsors of Watford Football Club will remain unaffected.
Loans.co.uk chairman Mr Cowham said: "Having worked with MBNA for some time, we knew of its marketing expertise and commitment to its people, partners and customers, and knew that it was the right organisation to help sustain and further fuel our growth."
Commenting on the transaction, Shane Flynn, CEO of MBNA Europe, said: "The acquisition of Loans.co.uk is a milestone in MBNA Europe's development. MBNA has been working with Loans.co.uk for some time and have always been impressed by its approach to their business and its customers."
Loans.co.uk was launched in June 1997 and is now the UK's leading finance originator.
More than 400 staff work in the company's head office, based in Croxley Business Park, Watford, and in its Preston office, which opened last April.
The firm also sponsors Wycombe Wanderers and Francis Combe School and Community College which received a £40,000 donation from the company.
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