Credit Corp Group signs deal to acquire Collection House's NZ debt ledger

Credit Corp Group Ltd. said in a Feb. 23 release it entered into a binding agreement to purchase Collection House Group Ltd.'s New Zealand-purchased debt ledger for A$12 million.

The Australia-based company also acquired Collection House's senior secured debt, which is worth roughly A$52 million, from its banking syndicate as part of the transaction.

Credit Corp advanced a working capital loan facility to Collection House, totaling A$7.5 million of funding secured by first ranking security over the majority of the latter's assets.

Proceeds from the acquisition will be used to repay the working capital facility in full.

The transaction will likely be completed by end-March, the company said.