Credit Corp seeks deals following failed Humm bid
Key points
- Credit Corp chairman Greg Cooper stated that the debt collector remains focused on pursuing both organic and inorganic growth opportunities following the termination of its acquisition talks.
- The company's share price traded at $14.67 following updates regarding its strategic outlook and financial guidance for the current period.
- Management cited a disciplined approach to pricing and capital allocation as the core driver behind its future expansion strategy.
Credit Corp (ASX:CCP) announced that it remains active in evaluating potential growth options following the termination of its proposed $385 million acquisition of Humm Group (ASX:HUM).
The debt collector previously pursued the transaction before discussions ended, contrasting with its ongoing efforts to identify alternative expansion avenues.
"The development demonstrates a willingness to look for bolt-on opportunities but is tempered with a strong discipline around the price we are willing to pay for those opportunities," said Credit Corp Chairman Greg Cooper.
The firm outlined a net profit after tax guidance target of $116 million for the current financial year, which includes contributions from the recent purchase of HSBC's car run-off book.
Looking forward, the company plans to maintain its current strategic focus on debt ledger investments and selective portfolio purchases.
Following the announcement, the Credit Corp share price was up at $14.67.
Credit Corp operates as a financial services provider specialising in debt purchase and consumer lending across Australia and international markets.
