Nicholas receives buy offer

CLEARWATER — Nicholas Financial Inc. (symbol:NICK) recently received an unsolicited, non-binding “indication of interest” from a potential buyer, the Clearwater firm revealed today via release.

In response to the offer, the board of directors at Nicholas has retained Hyde Park Capital Advisors LLC to help formulate a response strategy. The company is considering a number of potential moves, including selling the company or some of its assets, acquiring competitors, and/or raising capital through debt or equity financing.

Nicholas stock is up more than 18% in early morning trading, with eight times above average volume being exchanged.

Nicholas Financial Inc. is a publicly traded consumer finance company, with 54 branch locations throughout the Southeast and Midwest. The firm earned $3.9 million in profits on $15.7 million in third quarter revenues in 2010.