BNK has announced that it will sell aggregator Finsure to MA Financial Group for $151.6m in cash. The sale is subject to regulatory approval and is scheduled for the first half of next year.
Finsure MD John Kolenda welcomed the deal, saying that MA would be able to provide a financial platform for the aggregator to grow.
“The strong financial position of MAF, provides Finsure with exciting opportunities to accelerate our growth agenda and provide additional value to our broker network,” he said.
“Finsure is uniquely positioned as a scalable, technology-enabled platform with a differentiated service proposition to become one of the most powerful pieces of financial infrastructure in the Australian residential mortgage market.
“MAF can support Finsure in this journey through its access to capital, credit & lending capabilities and technology expertise.”
Read more: AMP sets out stall to broker channel
BNK chair Don Koch added: “The Company previously announced a strategic review to consider all options to maximise value for BNK shareholders.
“As part of that review, the Board has carefully assessed a range of alternatives, including expressions of interest from a number of parties regarding BNK’s asset portfolio.
“After a detailed assessment, the Board believes the sale of Finsure to MAF represents a compelling outcome for all BNK stakeholders, including shareholders, our people and customers.
"The sale price of $151.6 million cash is an attractive valuation and will deliver significant value to BNK shareholders. The sale price represents a 66% premium to the undisturbed market capitalisation of the Group prior to announcement of the strategic review on 21 September 2021.
“Finsure is a top 4 mortgage broking aggregator with over 2,000 brokers and a national distribution footprint with a market leading technology suite.
“While Finsure has been growing strongly, the opportunity to be part of MAF, a larger and more diversified financial services group, will accelerate Finsure’s ability to grow its presence in the Australian financial services market.”
