Credit Corp acquires HSBC book for $150M
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- Credit Corp Group agreed to acquire the HSBC Bank Australia credit card run-off book for $150 million.
- The transaction led the firm to increase its fiscal 2027 net profit guidance to $112–120 million.
- The company stated the deal will meet internal return targets ahead of an expected 2027 completion.
Credit Corp Group (ASX:CCP) agreed to buy the HSBC Bank Australia run-off book for $150 million.
The firm subsequently raised its fiscal 2027 purchased debt ledger guidance to $300-$380 million from $200-$280 million.
Management stated the transaction is priced to achieve return hurdles despite a shorter typical receivables duration.
The company noted the deal requires regulatory approval and is expected to close in early 2027.
Following the announcement, the Credit Corp share price was up at $13.80.
The business stated the revised $112–120 million net profit guidance represents 10% expected earnings growth.
The firm increased earnings per share forecasts to $16.4-$17.6.
