Aggregator adds another brokerage to its portfolio
ASX-listed mortgage aggregator AFG has added another brokerage to its growing portfolio of investments after acquiring a 40% stake in Brisbane-based asset finance specialist Network Finance.
It marks the fourth in a string of equity investments for AFG, including a 28% stake in a former brokerage of competing aggregator outsource Financial in July. The other three investments were made into existing brokerages in the AFG network.
AFG’s latest investment marks its first in the asset finance space.
Network Finance has offices in Coorparoo and Beenleigh in Queensland, and has been servicing its customers since 1995.
AFG chief executive David Bailey (pictured) described the partnership as an opportunity for both companies to work together to help support and expand Network Finance’s asset finance offering into the residential and commercial sectors.
“The four investments to date, including Network Finance, marks just the beginning of our (Broker Investments) program,” said Bailey. “Our ambition is to invest in 35 high-calibre groups by 2029.”
Network Finance managing director Craig Titmus added: “We’ve earned our reputation in asset finance, but leveraging off our loyal customer base we see enormous potential in residential and commercial lending.
"Partnering with AFG, an ASX-listed company, gives us access to the capital and expertise needed to unlock that growth.
“With AFG’s backing, we’re positioned to scale rapidly while continuing to deliver the personalised service our customers value.”
AFG made its first investments under its Broker Investments program in January with the acquisition of minority stakes in Melbourne-based Empower Wealth Group and Perth’s Lifespan Mortgage Services.
