Non-bank lender Thinktank has confirmed that it is assessing investor interest and that it had opened the opportunity for longstanding shareholders to seek a path to liquidity.
Specialist non-bank lender Thinktank has confirmed it is in discussions with potential investors as it considers a transaction that could enable long-term shareholders to realise their investments.
The broker-distributed commercial and residential property lender told The Adviser that it was assessing interest following reports that it had appointed an investment bank to explore a potential sale process.
In a statement issued on Friday (21 August), Thinktank CEO Jonathan Street said the lender’s engagement with advisers formed part of its normal approach to managing capital, funding, and growth.
“Thinktank regularly works with a range of advisers and funding partners as part of managing its balance sheet, capital allocation initiatives and funding activities in support of the ongoing growth of the business,” he said.
Liquidity process targets long-term investors
Street said the immediate focus of the process was to create an exit opportunity for some of the lender’s minority investors.
“As part of this broader capital management activity, the company is currently assessing interest from potential investors,” Street said.
“The primary objective of this process is to facilitate a liquidity event for a number of long-term minority shareholders, some of whom have supported the business since its establishment in 2006.”
As an unlisted company, Thinktank’s shareholders cannot readily trade their holdings through a public securities market.
A liquidity event could therefore involve a sale of shares to a new investor, a larger change of ownership, or another transaction structure that allows eligible existing shareholders to convert their stakes into cash.
The lender indicated that a prospective investor could have a role beyond financing a shareholder exit, particularly if it could support the next phase of the business’s expansion.
“Additionally, Thinktank may benefit from the introduction of a new shareholder whose capital, expertise and relationships could support the company’s future growth ambitions,” Street said.
However, he stressed that the process remained at an exploratory stage, with no deal reached and no certainty that discussions would produce a transaction.
“No transaction has been agreed and discussions remain preliminary. We will consider any proposals that may emerge from the process in the best interests of the company and its shareholders,” he said.
AFG holds strategic 32% stake in Thinktank
Thinktank was founded in 2006 and originates commercial and residential property finance exclusively through mortgage brokers.
Its key customer segments include self-employed borrowers, small- to medium-sized enterprises, property investors, and self-managed superannuation funds.
Thinktank’s potential ownership shift is particularly notable given Australian Finance Group’s (AFG) longstanding strategic investment in the lender.
In April 2018, the ASX-listed aggregator acquired a 30.4 per cent stake in Thinktank for $10.9 million, alongside two board seats, with its holding having since increased to about 32 per cent.
The transaction enabled AFG to offer a white label commercial-property lending product through its broker network.
While the lender has not disclosed the parties involved or the structure under consideration, the process could give AFG an opportunity to assess its own investment position.
AFG’s financial year 2026 results, released this week, showed the growing financial contribution of its Thinktank investment.
The 32 per cent holding added $3.6 million to AFG’s earnings growth, while Thinktank’s assets under management reached $9.6 billion.
Thinktank also reported FY26 loan originations of $5.2 billion and net profit after tax of $19.2 million.
Despite the potential ownership discussions, Street said Thinktank’s relationships and operating priorities would continue as normal.
“Importantly, this process does not change our day-to-day operations, strategic priorities or commitment to our customers, brokers, distribution relationships, funding partners and members of our team,” he said.
[Related: AFG settlements climb as post-budget volumes ease]
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