KEY POINTS:
Financial services company Lombard Group is buying a mortgage broking business from Australian-listed residential investor Blue Chip.
Lombard, owner of property financier Lombard Finance & Investments Ltd, said its purchase of Tasman Mortgage Group would settle once third party consents were obtained.
Tasman would retain recommended broker status for significant existing clients, including Blue Chip, and Lombard planned to increase the business, Lombard chief executive Michael Reeves said.
Details of the transaction were confidential.
Launched in 2000, Tasman Mortgage Group had arranged mortgage finance for more than 1500 people.
Yesterday, Lombard posted a net annual profit of $4.9 million, more than double the previous year's $2.3m profit.
The company also announced a 100-for-one share consolidation, effective June 15. Lombard currently has 2.3 billion shares on issue, trading at 1.8c each.
- NZPA
