This underrated gem could sparkle in 2021
This diversified financial retailer, has just announced commendable results over a difficult period, demonstrating considerable resilience. Sitting on plenty of cash, its diversified offering means it is well-placed to weather further short term disruption and go on to thrive when markets do return to the new normal. Our in-depth commentary here highlights the appeal of this under-appreciated and modestly valued business.
A little historyThe first Ramsdens (LON:RFX) opened in Stockton-on-Tees in May 1987 and was involved primarily in home collected credit. By the 1990s it had expanded and today provides a diversified range of financial-related services which encompass pawnbroking loans, gold buying, jewellery retailing and foreign exchange. The company was admitted to AIM in February 2017 in a transaction which partially served to provide an exit for selling shareholders (£10.6m in gross proceeds), primarily North Edge Capital, and also served to raise new funds for the company (£5m in gross proceeds), through the sale of 5.8m new shares at a price…