Panmure losses grow as tough markets take toll

STOCKBROKER Panmure Gordon yesterday said losses ballooned over the first half after “exceptionally difficult” market conditions dragged income down by nearly 40 per cent.

Panmure, which also announced the appointment of ex-Old Mutual Securities chief executive and UK Athletics chair Edmond Warner as its new chairman, is currently being stalked by larger rival Evolution.

Last week, Evolution said a bid for Panmure is a possibility it is considering, adding that it would look closely at the first half results to assess the strategic sense of making an offer.

No formal discussions have taken place between the two sides, and Panmure, 47 per cent owned by Qatari investment bank QInvest, initially appeared hostile to the idea of a deal, insisting Panmure has a clear strategy “as an independent entity”.

Panmure’s total income for the first half came in at £17.1m, compared to £28.4m in the same period last year, as the size of investment banking deals dropped dramatically and commission income weakened.

The stockbroker posted pre-tax loss of £6.05m, which compares to £3.48m it lost in the same period a year ago.