Paragon Group Still In Talks To Restart Lending; 3Q Strong

29th Jul 2010 08:34

LONDON (Dow Jones)--Buy-to-let lender Paragon Group of Cos. PLC (PAG.LN) Thursday said it is still in talks with wholesale lenders with the aim of restarting lending, and that its third-quarter financial performance was strong. The firm hasn't lent to new customers since 2008 but aims to restart when funding market conditions are more appropriate, saying that it may test products and distribution in the market in the run-up. Paragon said its performance during the third quarter of the 2010 fiscal year contributed to operating profit before exceptional and fair value items of GBP47.6 million for the nine months to June 30. Pretax profit, including a GBP5.7 million profit from the purchase of group securitised bonds, totaled GBP52.7 million for nine-month period. Paragon added that arrears within its buy-to-let portfolio improved during the third quarter, with the proportion of the portfolio three months or more in arrears reducing to 1% at June 30 from 1.2% at March 31. -By Rachael Gormley, Dow Jones Newswires; 44-20-7842-9308; [email protected] (END) Dow Jones Newswires July 29, 2010 03:34 ET (07:34 GMT)