Homeloans to fund and use Athena's new home loan platform

Homeloans Ltd will provide debt funding to Athena Home Loans and has joined Macquarie and SquarePeg as a shareholder of the new home loan platform, which is preparing to launch later this year with technology to link mortgage borrowers directly with super funds and non-bank lenders.

Athena, founded by two former National Australia Bank executives, is targeting $1 billion of lending in its first year, a drop in the ocean compared to the $1.7 trillion mortgage market.

However, the strategic partnership announced by ASX-listed Homeloans on Monday morning shows major banks, which are grappling with a loss of customer trust due to the banking royal commission, are under growing pressure from both new customer-facing home loan brands like Athena and non-bank lenders seeking to improve their digital offerings.

Ahead of its full-year results, due for release on Thursday, Homeloans said it will use the Athena platform “to further grow and enhance our offerings” and has also invested $2 million in equity in Athena, part of a $20 million raising also backed by SquarePeg and Macquarie Capital, Rice Warner and Apex Capital.

To read more, please click on the link below…

Source: Homeloans to fund and use Athena’s new home loan platform | afr.com