LONDON, UK: Shawbrook Group plc has signed an agreement to acquire Bluestone Mortgages Limited (BML), a specialist mortgage lender focused primarily on owner-occupied mortgages.

Bluestone Mortgages Limited, part of the Bluestone Group, was established in 2014 and has rapidly secured a notable share of the UK specialist mortgage market through a compelling product and service proposition.

Since first establishing a platform lending arrangement in 2017, Shawbrook Group has maintained a successful relationship with BML.

The two organisations also share an approach to providing specialist finance at scale, which combines technology and data with the expertise and judgement of their people. This ‘best of both’ model is key to delivering a seamless digital experience with swift decision making and certainty of funding.

Subject to satisfaction of the conditions precedent to the acquisition, completion is expected to take place in Q2 2023.

Marcelino Castrillo, the Shawbrook Group’s Chief Executive Officer commented: “We are delighted to have strengthened our long-standing and successful partnership with Bluestone Mortgages through this acquisition. Bluestone Mortgages is a well-established brand in the UK specialist residential mortgage market, and by bringing the two organisations together, we can use our combined capabilities and scale to offer an even stronger proposition to UK homeowners.

Driven by increasing numbers of people choosing to work for themselves or in sectors where incomes are complex, we anticipate significant long-term growth in the specialist mortgage market. With both Bluestone Mortgages and The Mortgage Lender brands combined with Shawbrook’s strong and stable balance sheet, the Group is very well placed to consistently meet this growing demand.”

Steve Seal, Bluestone Mortgages’ Chief Executive Officer, commented: “This transaction is great news for Bluestone Mortgages, our intermediary partners and our customers. Shawbrook has been a long standing strategic partner for many years and joining the Shawbrook Group is a natural step as we continue to grow and develop the business.

We have exciting growth plans and the support available from Shawbrook will help to accelerate these, enabling BML to provide innovative lending solutions to the growing number of customers who will need the support of a specialist mortgage lender.”