Subprime lender Amigo to wind down business, ceases lending immediately

LONDON (Reuters) - British subprime lender Amigo Holdings plc said on Thursday it would wind down after failing to secure adequate investor interest in a vital capital raise, ending months of efforts to restructure its ailing business.

The company, which specialises in providing credit to borrowers typically excluded by mainstream banks, will stop lending immediately. Its wind-down is expected to last for 12 months, during which the existing loan book will continue to be collected, the company said.

"This is a very sad day for all our employees who have worked extremely hard to address historic lending issues and rebuild a new Amigo, and for our shareholders and wider stakeholders," Danny Malone, Chief Executive Officer, said.

(Reporting by Amy-Jo Crowley, editing by Sinead Cruise)