HSBC will sell its New Zealand mortgage portfolio to an NZ subsidiary of the Australian securities exchange-listed Pepper Money.
The transaction is expected to comprise $1.4 billion of mortgages and be completed by November 2023. Pepper Money had assets of A$18.9b (NZ$20.5b) at June 30, 2023.
It had already set up a base in NZ in 2011 when it acquired GE Capital’s Australian and NZ home lending business.
“Since then, Pepper Money has continued to grow its presence in this market with the establishment of an end-to-end mortgage platform and nationwide rollout of a full suite of residential home loans in 2019.”
London-headquartered HSBC said in June it would quit wealth and personal banking in NZ and won’t accept retail customers.
