Aussie Home Loans is to merge with online home loan platform, Lendi.
The Commonwealth Bank has announced the merger which it said would bring together Aussie’s significant network, strong brand and deep experience with Lendi’s technology and platform.
In an announcement to the Australian Securities Exchange the bank said the complementary capabilities of Aussie and Lendi were expected to support the growth of the existing businesses and deliver a range of additional benefits over time.
It said upon completion, the bank would retain a 45% shareholding in the combined business, with existing Lendi shareholders holding the remaining 55%.
The announcement said that CBA would also received deferred consideration and a pre-completion dividend of $105 million in aggregate.
Confirming the transaction, CBA chief executive, Matt Comyn, said the bank believed the combined business would have a stronger platform to offer enhanced digital capabilities for Aussie brokers and superior experience for customers.
The transaction is expected to complete mid-2021 subject to approval from the Australian Competition and Consumer Commission (ACCC).
