2016 Annual Report & Notice of Meeting
Friday, 30 Sep 2016
The 2016 financial year marked a significant inflection point for Credit Corp. The company surpassed expectations by accelerating earnings growth and achieving significant business development milestones. These have produced an outlook for higher levels of growth in the near term. At the same time Credit Corp increased its commitment to sustainability and financial inclusion, which gives the company a unique competitive advantage. This focus on growing long-term shareholder wealth by combining strong business results with sustainable practices and compliance leadership is encapsulated by the theme 'growth with community'. - Donald McLay, Chairman
Credit Corp acquires National Credit Management Limited
Monday, 12 Sep 2016
Credit Corp Group (Credit Corp) announces the acquisition of receivables management company National Credit Management Limited (NCML) from Thorn Group Limited (ASX: TGA) for a total consideration of $22.6m subject to completion adjustments.
NCML is a diversified receivables management business with both debt purchasing and agency collection segments operating in both Australia and New Zealand.
The transaction will include a Purchased Debt Ledger (PDL) book with a carrying value of more than $20 million, 90 staff and 120 client agency agreements. No goodwill is expected to be recorded on the acquisition of NCML by Credit Corp.
Mr Thomas Beregi, CEO of Credit Corp, said that Credit Corp looks forward to working with NCML to further develop the agency collections business. “The NCML team has done an excellent job developing a diversified client base” he said.
Mr Beregi added that service levels to existing NCML clients would not be impacted by the acquisition and Credit Corp would seek to enhance service offerings over time.
The acquisition necessitates an upgrade to PDL purchasing guidance which is now expected to be in the range of $180 to $200 million including the NCML acquisition. While the acquisition will have a positive impact on Credit Corp’s earnings for the 2017 financial year it will not be material. In accordance with past practice the company will review its earnings guidance at the Annual General Meeting scheduled for 3 November 2016.