Pink lost £2m in BDS takeover deal
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Pink Home Loans’ accounts reveal the network suffered a loss of £2m as a result of its purchase of BDS Mortgage Group in 2008.
Pink acquired a 90% holding in BDS in early 2008 but its latest accounts show that BDS’ market value was written down by £2m.
This contributed to Pink’s overall £3.3m loss in 2008, compared with the £1.1m profit it made in 2007.
But David Copland, managing director of Pink, says the company is well placed at the start of 2010 and has the backing of parent Skipton Building Society.
Copland says: “We underwent a restructure in 2008 and, of course, in terms of volume it was a tough year for everybody in the mortgage industry. But we’re still standing and are lucky in that we have a supportive parent.
“I think there’s a lot more consolidation to come in the market this year and there is every possibility that we will be a part of that. The bigger you get, the better you get at negotiating.”
Pink’s parent Skipton announced a restructuring of its business last week which could result in the shedding of 90 jobs.
Job losses are likely to be centred on the society’s head office at The Bailey in Skipton and at its satellite processing centre, Prospect House in Scarborough.
