Goldfields on course for ‘transformational’ Finsure merger
Link copied to
Mortgage broker Finsure has emerged triumphant in a drawn out courtship to woo ASX-listed Goldfields Money.
The two announced the merger to the market today, in what they dubbed as ‘transformational’, but now await shareholder approval.
“The Finsure transaction will result in Goldfields Money owning a fast-growing national mortgage aggregation network and wholesale mortgage business with the combined entity enjoying material profitability, increased scale, material revenue uplift and improved growth prospects,” they said.
Under the agreement, 40 million shares in consideration will be issued to Finsure shareholders valued at $1.50 – a premium to the $1.41 price on Monday morning.
Together, the two will be valued at approximately $97.5 million.
As part of the transaction, Finsure managing director and former general manager of Aussie Home Loans, John Kolenda, will join the Goldfields Money board.
It comes after Goldfields Money (ASX:GMY) fielded a takeover bid from FirstMac initially for $1.12 and then $1.27 a share.
Shareholders will have the chance to vote on the merger at their meeting in March.