Contact us Find us Register
Back to previous section

Paragon Banking to sell vehicle and fleet subsidiary SFS for £85.6m.

Paragon Banking Group said on Monday that it has agreed to sell subsidiary Specialist Fleet Services Limited (SFS) to NRG Fleet Services for £85.6m.

  • Paragon Banking Group
  • 22 June 2026 09:58:30
Paragon Bank

Source: Sharecast

The deal, which includes the settlement of SFS' intra-group debt, is expected to complete next month.

At 31 March, SFS’ net assets stood at £10.1m and the balance of intra-group funding was £33.2m.

Paragon said the sale will add around £40m to its tangible net assets and 0.5% to the company’s CET1 ratio.

Paragon bought SFS through its acquisition of Five Arrows Leasing Group in October 2015. It is a specialist business within Paragon's commercial lending division, focusing on municipal vehicle support and leasing to local authorities as well as private waste operators.

Chief executive Nigel Terrington said: "NRG is one of the UK's premier specialist fleet management companies and we believe being part of NRG will support SFS in reaching its true potential. At the same time it will simplify Paragon's operational platforms and the additional capital created will be used to continue supporting growth in our commercial lending division.

"We thank managing director, Bob Sweetland, and his team at SFS for their contribution over the last eleven years and we wish them continued success for the future."

See latest RNS on Investegate

FTSE 250 ( MCX )

ISIN: N/A
Exchange: London Stock Exchange
Sell:
0.00
Buy:
0.00
Change: 175.05 ( 0.76 %)
Date:
Prices delayed by at least 15 minutes

Compare our accounts

If you're looking to grow your money over the longer term (5+ years), we have a range of investment choices to help.

View our accounts

Halifax is not responsible for the content and accuracy of the Markets News articles. We may not share the views of the author. Understand the risks, please remember the value of your investment can go down as well as up and you may not get back the full amount you invest. We don't provide advice so if you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified Financial Advisor. Past performance is not a guide to future performance.