Trading and Transaction Update
Perth, July 26, 2018 AEST (ABN Newswire) - Goldfields Money Limited (
ASX:GMY) ("Goldfields Money" or the "Company") is pleased to provide full year FY18 guidance and the below trading update for the quarter ended 30 June 2018 for Goldfields Money and Finsure.
The Company is also pleased to provide an update in relation to the anticipated transaction timetable for the proposed merger between the Company and Finsure ("Finsure Transaction").
FY18 GUIDANCE
The table in link below shows the full year FY18 guidance for Goldfields Money and Finsure.
GOLDFIELDS MONEY TRADING UPDATE
Goldfields Money experienced continued growth during the 3 months ended 30 June 2018 with loan settlements for the period of ~$5 million (with 29 individual loans settled), with year to date loan settlements (~$46 million) and volumes (with 277 individual loans settled) the highest on record. As at 30 June 2018 Goldfields Money's total loan book grew to ~$214 million (compared to ~$183 million as at 30 June 2017).
After accounting for one-off costs incurred in responding to the Firstmac takeover offer and progressing the Finsure Transaction, pleasingly Goldfields Money expects to report an underlying profit for the financial year ending 30 June 2018.
The charts in link below summarise the performance of Goldfields Money over the last five years.
FINSURE TRADING UPDATE
Finsure continued to grow from strength to strength during the 3 months ended 30 June 2018, with Finsure management estimating the total loan book at the end of the period growing to ~$33.2 billion, loan settlements during the period reaching ~$3.2 billion (with over ~7,900 individual loans settled), cash revenue of ~$40 million generated during the period and its broker network growing to 1,435 loan writers.(see Note below)
Finsure's estimated total historical book size and total loan writer network numbers as at 30 June 2018 were the highest on record.
Finsure's wholesale division also achieved strong results during the 3 months ended 30 June 2018, with the total wholesale loan book at the end of the period growing to ~$2.2 billion and loan settlements during the period reaching ~$163 million (with loan settlements in June 2018 alone reaching a record ~$73m).
The charts in link below summarise the continued growth of Finsure over the last five years.
FINSURE TOPS MPA BROKERS ON AGGREGATORS SURVEY
Finsure also recently achieved a major industry honour after being named Australia's number one aggregator in the 2018 Brokers on Aggregators Survey conducted by Mortgage Professional Australia ("MPA") Magazine. Finsure came first overall, and was awarded gold in 4 and silver in 2 categories.
The latest accolade comes after the Group was named Aggregator of the Year (more than 500 brokers) at the 2017 Australian Mortgage Awards.
Goldfields Money Non-Executive Director, and Finsure Co-Founder and Managing Director, John Kolenda, said the acknowledgement from brokers in the MPA award was a huge thrill for Finsure and is further recognition of the success Finsure has enjoyed since it was established in 2011.
FINSURE TRANSACTION TIMETABLE UPDATE
As previously disclosed, a Notice of Meeting will be sent to Goldfields Money shareholders including an Explanatory Memorandum containing full details of the Finsure Transaction, together with a report from an independent expert as to whether in their opinion the Finsure Transaction is fair and reasonable to Goldfields Money shareholders.
All information the Board considers is required by Goldfields Money shareholders to allow them to make an informed decision in respect of the Finsure Transaction will be contained in the Notice of Meeting. The Board recommends that Goldfields Money shareholders read the Notice of Meeting and accompanying documents in full once received.
Goldfields Money and Finsure have agreed to extend the date by which the remaining conditions are to be satisfied or waived (where applicable) to 30 September 2018. The table below shows the currently anticipated transaction timetable.
----------------------------------------------------------------Event Date ---------------------------------------------------------------- Dispatch Notice of Meeting August 2018 Shareholder meeting September 2018 Completion September 2018 ----------------------------------------------------------------
The Board remains confident of satisfying all remaining conditions precedent for completion of the Finsure Transaction, with Goldfields Money and Finsure continuing to work towards satisfaction of the remaining conditions.
WHO IS FINSURE?
Established in 2011, Finsure Holding Pty Ltd ("Finsure") had set out to build a competitive and holistic offering for mortgage brokers in Australia with the aim to become a dominant player in the industry. Since inception, Finsure has positioned itself as a leader in the market in offering a diverse lending panel, flexible commission models, lead generation and mortgage broker support services. Through the acquisition of LoanKit in 2013 and a growing brand presence in the marketplace, Finsure has become one of the fastest growing aggregation business in the industry.
Finsure was recently named Australia's number one aggregator in the 2018 Brokers on Aggregators Survey conducted by Mortgage Professional Australia ("MPA") Magazine and was also named Aggregator of the Year for 2017 at the Australian Mortgage Awards.
At the very core of the Finsure business ethos is the desire to provide the strongest value proposition to all partners and clients. It is this principle that underpins who Finsure is as an organisation, and why they are able to provide the maximum value to those who align with us. As at 30 June 2018, Finsure has a network in excess of 1,400 loan writers across Australia, and an estimated historical book of ~$33.2 billion.
Note: Finsure's commission cycle for its Aggregation division operates on 1-month arrears and thus total loan settlements and historical book balances for the month ending 30 June 2018 can only be ascertained in August 2018.
To view tables, please visit:
http://abnnewswire.net/lnk/I279VYIH
About Goldfields Money Ltd
Goldfields Money (ASX:GMY) is Australia's new revolutionary digital bank, distributing first class products through a largely branchless distribution network. A bank without the bank. This digital banking platform is built on the recently implemented mobile first, world class core banking system provided by Temenos and our proprietary mortgage distribution software "Loankit".
Goldfields is ASX listed (ASX:GMY) with two key divisions:
Banking (operates under "Goldfields Money" and "Better Choice" brands) - an APRA regulated bank that offers deposit and loan products that are funded either on-balance sheet or off-balance sheet through a range of third party lenders. Our deposits are all guaranteed by the Australian Government Deposit Guarantee for up to $250,000 per customer. We are the new approach to banking in Australia, we're honest, with transparent bank practices and a straightforward approach to you and your money. It's all yours, honestly.
Mortgage Aggregation (operates under "Finsure" and "Loankit" brands) - an ASIC regulated mortgage aggregation and software technology platform with over 1,475 loan writers as of 31 August 2018. Finsure puts brokers first and is a leader in the market in offering a diverse lending panel, flexible commission models, training, lead generation, proprietary SaaS and mortgage broker support services. Finsure was also recently named Aggregator of the Year for 2017 at the Australian Mortgage Awards.
You can read more about us at www.goldfieldsmoney.com.au and www.finsure.com.au.
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