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Resimac sells subsidiary for $14m

by Reporter4 minute read

The specialist lender has offloaded its subsidiary Paywise to focus on its core businesses in Australia and New Zealand.

Resimac has announced the sale of its subsidiary salary packaging business, Paywise, in a deal worth $14 million.

The specialist mortgage lender was not able to reveal the name of the purchaser, but said Paywise was sold to a “management buyout consortium”.

“Paywise has operated independently to Resimac’s lending operations, and the sale followed a decision to focus on our core Australia and New Zealand businesses,” a Resimac spokesperson said.

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Under the terms of the deal, all Paywise employees will remain with the business.   

“Resimac and Paywise share multiple offices, including Perth, and these arrangements will remain unchanged,” the spokesperson said.

The lender reported that its pre-tax gain on the sale was C$7.5 million ($8.1 million).

Resimac announced in January that its long-serving joint CEO, Mary Ploughman, will leave the company after 16 years of service as part of a new management structure.

Scott McWilliam – who held the title of joint CEO alongside Resimac’s original CEO, Ms Ploughman, since the Resimac/Homeloans merger in 2016 – became the sole chief executive officer at Resimac as part of the restructure.

Other changes announced by the lender recently include the appointment of a new broker support team and the standardisation of broker commissions.

[Related: Resimac adds new member to NZ underwriting team]

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