H&T Group has added to its pawnbroker service with the acquisition of two operators for an undisclosed seven-figure sum.

H&T Group has added to its pawnbroker service with the acquisition of two operators for an undisclosed seven-figure sum.

An independent pawnbroker and cash cheque outlet in London along with a Jeynours outlet in Portsmouth have been acquired, bringing the number of H&T’s outlets to 85.

The number of the firm’s outlets has risen from 77 at the start of the year, along with a marked jump in profits. H&T’s gross profit rose 21% in the first half of 2007, indicative of a growing sector.

When speaking to M&A, H&T’s financial director, Laurent Genthialon, said rising interest rates are one of the main factors driving the increasing demand for its services.

“Our clients may have bad credit or be worried about damaging their rating by not repaying a loan. We can provide loans to clients with bad credit and failure to repay loans with us doesn’t affect the clients rating”, Genthialon added.

Genthialon also explained that the name of the acquired pawnbroker in London was not disclosed due to possible activity from competitors.

“If competitors know the location of our new stores, it is possible they could target the store and decrease its success. Usual methods would be through increasing loan amounts and cutting the charges of securing a loan.”

H&T has made four acquisitions since raising £18.2 million with a float on AIM in May last year.