Yellow Brick Road Holdings Limited (ASX:YBR) will acquire Resi Mortgage Corporation for $36 million.
The financial services company will pay $28 million in cash for the privately owned mortgage manager and $5.5 million in fully paid ordinary shares in YBR.
Executive Chairman, Mark Bouris, says the acquisition of Resi is another important milestone in their strategy to become a leader in the non-bank segment.
The company raised more than $42 million via private placements in a funding round that was oversubscribed above the initial target of $36 million.
Yellow Brick Road reported a net loss of $3.6 million in the first half of the 2014 financial year.
