Prospa to acquire Australian business loan portfolio from fellow fintech Zip
ASX-listed Prospa Group have announced that it has entered into an agreement to acquire the Zip Business loan portfolio from Zip Business Pty Ltd for approximately $15.6 million, to be funded using Prospa’s existing warehouse funding arrangements. The transaction will reach settlement this week.
The acquisition comprises all of Zip’s remaining performing Australian business loans, equivalent to approximately $18.4 million of commercial loans to approximately 370 small businesses.
Prospa Chief Executive Officer Greg Moshal said, “We are pleased to acquire the high-performing Zip Business loan portfolio, ensuring that the 370 small businesses can continue to get the financial support they need on the Prospa platform.
“The acquisition reflects our continued commitment to supporting Australian small businesses with tailored finance for their needs.”