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ISCOVER
Staff Reporter
Industry stakeholders are preparing for greater consolidation in the non-bank space.
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Earlier this morning, Homeloans’ executive chairman Tim Holmes said the rising cost of funds was putting pressure on Australia’s non-bank lenders and non-majors.
“We expect to see further consolidation within the second tier and non-bank sector and, as such, Homeloans is actively looking for acquisition opportunities. We are well placed to act on this should an opportunity arise that is a good fit with our business and, indeed, our business model,” he said.
According to Mr Holmes, consolidation within the market will also provide further opportunities for lenders such as Homeloans.
“Homeloans is now the largest remaining publicly-listed non-bank in Australia, and with continued consolidation and fewer brands in the market, this further shores up our position as a serious alternative to the major banks,” he said.
“Our scalability, access to diversified funding, strong brand, effective distribution channels and dedicated people provide us with a strong platform from which to grow the business and make the most of opportunities once market conditions improve.”
Mr Holmes comments come as the mortgage lender announced its solid interim financial result.
Statutory Net Profit After Tax was $3.8 million, slightly down on last year’s $4.4 million, but still up on market expectations.
In addition, the lender managed to grow its loan book 3.3 per cent.
