European private equity firm Patron Capital Ltd. will sell Optimum Credit Ltd. to U.K. mortgage lender Pepper Money (PMB) Ltd.

The deal, which is contingent on regulatory approval, includes a second-charge loan book of more than £450 million.

Optimum Credit provides variable, fixed and discounted second-charge mortgages to homeowners in England, Wales and Scotland.

Houlihan Lokey was the exclusive financial adviser to Patron Capital.