Two specialist bond issuers have joined forces, redrawing Australia’s non-cash deposit market.
Deposit Power, part of the Credeq Group, has moved to acquire Deposit Assure, uniting two longstanding issuers of deposit bonds in a deal the parties said would create the country’s largest provider.
Announcing the acquisition on Thursday (9 April), Deposit Power said the tie-up marked a significant step for the broader deposit bond category and for its own 30‑plus‑year franchise in Australia.
It pointed to a shared emphasis on secure underwriting, reliable outcomes, and uninterrupted service for brokers, conveyancers, real estate professionals, and their clients.
The group said combining with Deposit Assure would add scale and specialist expertise, enabling continued investment in systems and processes aimed at issuing deposit bonds more quickly and reliably.
Deposit bonds allow buyers to exchange on a property while deferring the cash deposit until settlement – a structure that has gained growing traction.
Deposit Power CEO Ryan Dinsdale said the move was a deliberate play to strengthen the business and framed the combined group as better placed to give counterparties confidence across the life of a transaction.
“Bringing Deposit Power and Deposit Assure together strengthens our ability to support brokers and their clients with certainty at exchange and confidence through to settlement,” he said.
Dinsdale also linked the deal directly to current property conditions and said that demand for reliable non‑cash options was intensifying.
“It comes at a critical time – in such a tight property market, Australians need a dependable alternative to cash. They need us. And as a larger, stronger player, we can invest in making more people aware that there is a more flexible alternative to cash deposits,” he said.
“We can relieve some of that pressure in the market.”
Digital capability and service model in focus
Deposit Assure, which has operated for more than a decade, has built its proposition around digital issuance and policy innovation, with the company stating it had been supported by “strong relationships” with brokers.
The company said it had helped expand the domestic deposit bond market, including through instant or near‑instant online issuance for certain policies.
CEO Etienne Rizzo said the transaction aligned the business with a larger platform while preserving its relationship-led approach.
“This is the right move for our long-term partners and our team. It strengthens our foundation by aligning with HDI Global, a highly rated global insurer, and introduces a policy framework that better reflects the demands of today’s market,” he said.
Rizzo added that the combined offering would combine Deposit Assure’s innovation focus with the scale and brand recognition of its new owner.
“By joining with Deposit Power, we’re aligning with a well-established brand that shares our focus on growth through innovation and making the process simpler for our partners,” Rizzo said.
“This ensures continuity, while positioning the business to deliver even stronger outcomes without compromising the service standards and relationships Deposit Assure is known for.”
Underwriting strength and transition plans
Credeq, which manages multibillion‑dollar surety facilities across Australia and New Zealand, issues deposit bonds under the Deposit Power brand with backing from HDI Global Specialty SE, an insurer carrying an AA rating from Standard & Poor’s.
Market participants have increasingly focused on the strength of deposit bond underwriters, particularly after earlier disruptions involving other insurers.
Both parties emphasised disciplined underwriting and reliable claims capacity as central to the combined ethos.
Deposit Assure said it had played a “key role” in growing the deposit bond market nationally and that the enlarged group would continue to focus on clear processes, robust credit assessment, and consistent outcomes.
Both businesses stressed that during a “defined transition period”, they would work closely to maintain existing processes and relationships, with the two brands expected to coexist until the deal is completed.
Subject to “customary conditions”, completion of the transaction will see Deposit Power emerge as a major player in a segment that has been attracting renewed interest as higher rates and affordability pressures prompt buyers to look beyond traditional cash deposits.
[Related: Deposit Power welcomes new CEO]
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