Auswide Bank increases stake in P2P lender

Auswide Bank has increased its equity stake in peer-to-peer lender MoneyPlace Holdings, announcing yesterday that it now has a controlling interest of over 51 per cent.

The banks has the option of increasing that interest up to 75 per cent dependent on the final take up of other MoneyPlace shareholders in a capital raising initiative.

Auswide Bank acquired a 19.3 per cent equity stake in MoneyPlace in January 2016 while also committing funding to the Melbourne-based P2P lender’s consumer lending program.

Managing director, Martin Barrett said Auswide Bank has been impressed with the platform, skills, capability and performance of MoneyPlace over the last 12 months.

“Our funding has now exceeded $8million over the last seven months and momentum continues to build. Loan quality has also been performing above expectations and we remain optimistic regarding future growth opportunities for the MoneyPlace and Auswide Bank partnership,” he told AB+F.

“Auswide Bank has a strategic focus to significantly grow our consumer lending book to provide an increased and diversified revenue stream.”

Barrett added that it was the right time for the bank to substantially increase its equity stake in MoneyPlace “as they pursue the next stage of growth with further technology advancements, strong risk management and growing business relationships”.

“Our recent organic growth in our consumer lending and further investment in MoneyPlace demonstrates our growth ambitions and supports stronger returns for shareholders in the medium term,” he said.

MoneyPlace founder and CEO Stuart Stoyan said the MoneyPlace partnership with Auswide Bank had defined new ways for fintechs and traditional lenders to work together.

“Auswide Bank has been a strong partner over the past 12 months and we are delighted to have their continued support through our next phase of growth.”

Categories
Banking, Technology,
Tags:
Auswide Bank, MoneyPlace, fintech
Author:
Andrew Starke, online@financialpublications.com.au
Article Posted:
February 17, 2017

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