SCF purchases Finance and Investment loan ledger
Media release, 2 April 2008
South Canterbury Finance purchases Finance and Investments loan ledger
South Canterbury Finance Group today announced it has purchased part of the loan book held by Finance and Investments. The Nelson-based company is in receivership and under the control of PricewaterhouseCoopers.
Tasman Bay Finance, South Canterbury’s local subsidiary, will complete the purchase effective from 31 March 2008. It follows ongoing negotiations with the Group and the receivers since September 2007. The transaction involves around 12 business and another 330 consumer loans.
“We were keen to strengthen our presence in the region after establishing Tasman Bay Finance two years ago,” says Peter Bosworth, chief operations officer for the South Canterbury Finance Group.
“The purchase is part of our long term strategy to strengthen our profile as a truly nationwide finance company but still retain a strong local touch. The strength of the Group and large network of support will mean business as usual for both existing and new clients.”
Tasman Bay Finance is one of 15 regionally-based finance companies in the South Canterbury Finance Group and covers the Nelson, Marlborough and West Coast districts.
South Canterbury Finance has been operating since 1926 and is the largest privately owned finance company in New Zealand. It has an investment grade credit rating of BBB- from the international credit rating agency Standard and Poor’s. The company continues to perform strongly in the New Zealand markets and recently announced a record first half net profit of $64.4 million, growth in assets to $1.85 billion and equity of $270.8 million as at 31 December 2007. The Group recently diversified its funding sources with a successful foray into the listed bond market late last year, a new funding line from the US private placement market and undrawn bank funding lines of $150 million.