Resimac scores RHG acquisition

by Mackenzie McCarty16 Jul 2013

Resimac has successfully out-bid Pepper and taken on the acquisition of mortgage business RHG, formerly RAMS Home Loans.

RHG directors announced yesterday that they had accepted the non-bank lender’s latest bid of 48 cents per share, as well as a three cent per-share dividend, with total payments of 51 cents per share. The final sum places the company’s value at $157.3m, according to News Ltd.

As reported last week in Australian Broker, Resimac initially offered 44.1 cents per share for RHG, which was countered by Pepper’s 46 cents per-share bid.

RHG consists of the remnants of mortgage firm RAMS, which was sold to Westpac in 2007.