Bank of Queensland
(ASX:BOQ) will acquire Centrepoint Alliance Ltd’s
(ASX:CAF) Premium Funding business for $20 million, which it sees as a natural extension to its BOQ Finance business.
The bank says Centrepoint Alliance Premium Funding is a leading participant in the insurance premium funding industry – originating around 30,000 new loans each year to mainly small and medium sized enterprises.
BOQ says the acquisition will be immediately earnings accretive, but immaterial to its FY17 earnings.
The acquired business will be rebranded and form a new division within BOQ Finance, and the deal is expected to complete on 30 December 2016.
Bank of Queensland reported a net profit of $338 million at 31 August 2016.
