Shares dropped at OneSavings Bank yesterday as investors were disappointed with its performance in the first quarter since the lender floated on the stock market.
The bank originated £0.4bn of new loans in the three months since it floated in June, taking loans for the year to date up to £1.1bn.
“Demand in our chosen markets remains high and we continue to see opportunities for growth,” said chief executive Andy Golding.
Much of its business is made up of specialist loans such as buy-to-let mortgages and commercial property loans. As a result, OneSavings Bank stressed it would “remain selective in the business we write as we take advantage of the opportunity to maximise risk-adjusted returns.”
Its shares dropped 3.72 per cent on the day.
The fall takes it to 207p – down from its high of 220.5p, but still firmly up on the float price of 170p in the summer.