SYDNEY, AUSTRALIA: MA Financial Group Limited (ASX: MAF) has completed the acquisition of the remaining 52.5% interest in residential mortgage lender MKM.
Total cash consideration of $11.4 million was paid comprising $6.6 million for shares not already owned by MA Financial and $4.8 million for the acquisition of outstanding shareholder loans.
MA Financial partnered with MKM in October 2020, acquiring at this time 47.5% of the company, with an agreement to move to control by purchasing the remaining shares in MKM over a five-year period, ending June 2025.
Following MA Financial’s successful acquisition of mortgage aggregator Finsure, which completed in February 2022, a strategic decision was taken to move to full ownership and control of MKM at a date significantly earlier than previously planned.
Having full control of MKM, alongside the ownership of Finsure will enable an acceleration of our growth into Australia’s ~$2 trillion residential home loan market across multiple initiatives.
Residential mortgage lender, MKM was established in 2004 and has an outstanding track record of mortgage lending. Following moving to control of MKM, MA Financial has plans to amplify MKM’s origination capacity, something which can be more readily achieved under 100% ownership.
MA Financial Group is an ASX-listed financial services group specialising in asset management, lending, corporate advisory & equities since 2009.