Choice, FAST, PLAN join Loan Market Group
The three aggregators officially joined Loan Market Group today, after completing their sale to NAB.
The Loan Market Group is committed to acquire 100% of the three broker aggregation businesses (Choice Aggregation Services, FAST and PLAN Australia) of National Australia Bank (NAB) has been officially finalized.
Last Friday (February 26) was the last day of the three groups operating under NAB, with today (March 1) marking the first business day on which all three aggregators become part of the newly expanded Lending Market Group.
The four aggregation brands will continue to operate under their own brands and under the direction of their current leaders, Sam White (Loan Market), Stephen Moore (Choice), Brendan Wright (FAST) and Anja Pannek (PLAN).
The existing broker-facing platforms, MyCRM and Podium, will continue to operate separately with no immediate changes.
As part of the acquisition, business owners can switch between business models that suit them.
The purchase of NAB’s three networks makes Loan Market one of Australia’s largest aggregators, with over 5,000 mortgage brokers.
It also has operations in New Zealand, having bought New Zealand wholesale mortgage aggregation business Allied Kiwi in 2012 (to form the New Zealand Financial Services Group) and Kepa Aggregation in 2020.
‘Options for every broker’
Speaking after the deal was completed, Loan Market Executive Chairman Sam White said: “Today a greater proportion of mortgage brokers are working in the market without ownership affiliations with banks, and we think that’s a great result for customers.
“Being 100% family-owned – not bank-owned – resonates with Australians, especially in a post-BID world. We see this with customers voting with their feet as brokers’ market share continues to climb. »
Mr. White added that the acquisition provides certainty for incoming brokerage networks and more choice for the industry as a whole.
“In an uncertain world, our brokers can rely on Loan Market Group for a steady hand and business to partner with. We have been in the brokerage business for 27 years, and my family in the real estate and financial services industry for over 119 years. We’re not going anywhere.
“As of today, Loan Market Group operates as the leading retail funding aggregator and the leading wholesale funding aggregator. We have options for every broker, every specialty and every budget. We will continue to refine and improve offers to brokers.
Mr White added that the “scale of the purchase” would allow Loan Market Group “to invest more in technology, innovation and compliance solutions to enable our brokers to more easily deliver a customer experience. exceptional”.
The CEOs of Choice, FAST and PLAN all welcomed the new owner and looked forward to the future direction of the group.
Stephen Moore, CEO of Choice, said, “This will prove to be the best of both worlds for Choice members.
“The entire Choice team continues, which means the same great service and support and a continued focus on helping brokers build successful businesses.
“It also means that we will now be able to operate at a faster pace, which means being even more responsive to brokers’ needs.”
Meanwhile, FAST CEO Brendan Wright said, “Our brokers will have access to unparalleled resources, allowing us to elevate a clearly differentiated value proposition for financial brokerage businesses in a financial services landscape. rapidly evolving, backed by a well-established network of leaders and supporters. teams within the Loan Market Group, all with a wealth of experience in our dynamic industry.
Similarly, Anja Pannek, CEO of PLAN Australia, said she was “incredibly delighted” that the group’s “voice as an advocate for our industry, our members and their customers is being strengthened”.
“Partnering with our members to grow their businesses remains our primary focus at PLAN Australia and something I look forward to improving even more in the future,” she said.
Looking to the future, the Executive Chairman of Loan White concluded: “We believe deeply in the mortgage brokerage industry and the value our industry brings to Australians, and Loan Market Group will continue to invest in it.
“Loan Market Group is on a mission to be the best aggregator in the world. We are the home of every good broker who is committed to delivering the best results to their clients. We are the voice of brokers. Amplify 5,000 brokers to regulators, politicians and lenders. »
Loan Market Group is part of the 119-year-old White Family Group, which includes major real estate company Ray White.
The Loan Market/NAB-owned aggregator purchase agreement is not the only deal that is expected to change the structure of aggregation groups this year.
The process is underway to create the largest merged aggregation entity in brokerage through the project $120 million merger between AFG and Connective, despite some delays. Once finalized, the combined group would see ASX-listed aggregation firm AFG acquire the assets and liabilities of the Connective Group to create a massive nationwide mortgage distribution network, with more than 6,575 brokers.
[Related: What the Loan Market/NABregators deal means for brokers]