Lowell posts UK NPL purchases of £229m

Pan-European debt purchaser Lowell acquired a total of £306m of non-performing loans (NPL) in 2016, its annual results reveal.

LinkedIn Twitter

Lowell’s group cash EBITDA increased by 20 percent to £254m, from 2015 to 2016. The firm said this has been driven by a 23 percent increase in NPL cash collections and an 18 percent rise in third party collections income.


For the full year of 2016, it acquired £229m of NPLs in the UK and £78m in DACH countries. Of these acquisitions, 62 percent were spot sales and the remaining 38 percent were forward flow contracts.


Lowell signed 47 forward flow contracts in 2016, a rise from 37 contracts in 2015. Its committed spend and signed forward flow visibility is more than £310m on future purchases up until 2021.


Overall group figures in the results were boosted by Lowell’s acquisition of two third party collections firms last year, German firm Tesch Inkasso and Austria-based IS Inkasso.


And following a merger with German-based GKFL said: Lowell GFKL Group has been rebranded and has now settled on the name Lowell.


James Cornell, chief executive of Lowell, said: “2016 was an important year in our growth with a number of strategic acquisitions across Europe, and the completion of an additional bond issuance.”


The results also show that across the group, a total of 336 portfolios were acquired last year. Nearly half, 45 percent, were acquisitions in financial services, 32 percent from retail and 18 percent from communications clients.


The debt purchaser’s 120-month gross ERC hit £1.8bn in 2016, a year-on-year increase of 30 percent, with 39 percent of this to be received as cash collections in the first two years.


The company is still waiting on full authorisation from the Financial Conduct Authority (FCA), but said there is reason to believe it will be forthcoming shortly.


LinkedIn Twitter

Provident unveils details of major recovery plan

Provident Financial has set up a recovery plan to re-establish relationships with customers, stabilise operations and improve its collections performance

Provident could be facing a £300m payout

Provident Financial Group could face a payout of £300m, according to stock analysts from the Europe division of Royal Bank of Canada

Credit Summit marks decade milestone in 2018  

The Credit Summit will return to the QEll Centre on March 15 2018, marking a decade of the event and 10 years since the financial crisis

The CS Interview

Renaissance man
LinkedIn Twitter

Renaissance man


Engineering a self-service solution in car finance
LinkedIn Twitter

Engineering a self-service solution in car finance


"It’s up to the financial services industry to help teach students the necessary skills to manage their finances"
LinkedIn Twitter

"It’s up to the financial services industry to help teach students the necessary skills to manage their finances"


Lloyds results reveal £2bn of debt in forbearance
LinkedIn Twitter

Lloyds results reveal £2bn of debt in forbearance

Upcoming events

TRI Conference: Special Situations & Turnaround

TRI Awards 2017

Mortgage Conference 2017

F5 Conference 2017

Credit Strategy

Did you find our website useful?

Thank you for your input

Thank you for your feedback – an online news and information service for the UK’s commercial and consumer credit industry. is published by Shard Financial Media Limited, registered in England & Wales as 5481132, Axe & Bottle Court, 70 Newcomen St, London, SE1 1YT. All rights reserved. Credit Strategy is committed to diversity in the workplace.
@ Copyright Shard Media Group