NAB to sell its broker aggregation business
NAB announced today that it has entered an agreement to sell 100% of its finance broker aggregation businesses, PLAN Australia, Choice and FAST, to Loan Market Group Pty Limited (Loan Market Group).
The agreement is in line with NAB’s strategy to simplify and focus on its core banking business and follows a strategic review of the broker aggregation businesses.
NAB Group Executive Personal Banking, Rachel Slade, said NAB will continue to have a strong commitment and connection to the broker market through broker originated lending.
“We continue to look for opportunities to support the broking industry and serve our customers well. Brokers play a significant role in the lending market and in enabling access to credit for many Australians,” Ms Slade said.
“As the broker market evolves it is the right time for us to exit broker aggregation and focus on lending at NAB.
“Equally, this agreement provides Loan Market Group with leading Australian broker aggregation groups, PLAN Australia, Choice and FAST, industry-recognised expertise in residential and commercial lending, Australia’s largest Australian Credit Licence holder and an award-winning technology platform, Podium.
“The changes position PLAN Australia, Choice and FAST to continue to achieve great outcomes for brokers and customers. Loan Market Group brings strong credentials and will enable brokers to continue building their businesses and delivering for customers.
“NAB looks forward to continuing our strong relationship with Loan Market Group as the bank behind the broker.”
Executive Chairman of the Loan Market Group, Sam White said the agreement signalled a significant milestone in the Loan Market Group’s 26-year history and will strengthen the resources of the Australian broker market to continue to deliver exceptional outcomes to customers.
“We passionately believe in the mortgage broker sector; brokers are integral in the Australian finance sector and generate value for customers. It’s no surprise that brokers settled 6 out of 10 home loans in Australia this year,” Mr White said.
“This strategic acquisition will enable the Loan Market Group to continue to invest in technology and business support that will ensure every broker in our expanded group is offering the best and most streamlined experience to their clients.”
Under the agreement, Loan Market Group will acquire 100% of NAB’s three broker aggregation businesses, PLAN Australia, Choice and FAST, the corporate credit licence holder and compliance services provider (BLSSA) and associated broker aggregation technology, including the technology platform, Podium.
Through the transition, the brands under PLAN Australia, Choice and FAST will continue to be led by Anja Pannek, Stephen Moore, Brendan Wright, Simon Southwell and Rebecca Slatter.
Timing and terms
Completion is subject to satisfying customary obligations and NAB will provide certain warranties and indemnities. Completion is expected to occur in early calendar year 2021. If completed, the transaction will have an immaterial financial impact on NAB.
About PLAN Australia, Choice and FAST
- The PLAN Australia, Choice and FAST broker network has approximately 4,100 brokers.
- PLAN Australia, Choice and FAST provide aggregation services to brokers that focus on both residential home loans and commercial loan products. This includes:
- Podium, an award-winning end-to-end business technology platform, with CRM, product database, electronic lodgement, compliance and marketing services, and commissions systems; and
- BLSSA, the corporate credit licence holder and compliance services provider.
About Loan Market Group
Loan Market Group is one of the largest and fastest-growing retail mortgage brokerages in Australasia. Proudly 100% family-owned and led, it was founded in 1994. Today, Loan Market Group works with a panel of 62 lenders and supports a network of over 700 brokers across Australia and New Zealand with a further 850 brokers trading under their own brand. Loan Market Group franchisees and brokers help individuals and businesses in Australia and New Zealand secure over $36 billion in loans each year.