Pioneer Credit Limited
(ASX:PNC) says it has bought a 14.1 per cent stake in Western Australian financier Goldfields Money Limited
(ASX:GMY).
The stake was purchase from the private investments of Pioneers managing director Keith John at a price of $1.04 a share. Goldfields last traded at $0.85.
The deal also includes a memorandum of understanding on how the companies can work more closely together in the future by no agreement has been reached.
Founded in 2009, Pioneer’s business model is based on buying overdue debts in the form of credit cards and personal loans and then working through the debt repayment with the client to financial rehabilitation.
Pioneer reported a net profit of $1.3 million for the first half of the 2015 financial year.
