Bluestone may resume lending if funding improves
Financial services company Bluestone will look at restarting its lending business in New Zealand if funding conditions improve. The biggest impediment for all businesses looking to lend is access to sustainable funding, Steve Martinelli, head of New Zealand business, wrote in an email. "Whilst we have no immediate plans to restart lending, if the funding fundamentals became more favourable, I think that the market would welcome a reconsideration of our plans."Bluestone ceased writing loans in New Zealand in 2007.Bluestone currently offers third-party servicing of loan portfolios and, with ratings from two key agencies, the company believes it is well placed to capitalise on the changes in the New Zealand market. "There is a significant opportunity for all finance companies who can no longer lend, to use Bluestone Servicing NZ to variabilise and remove significant operational costs from their business," Martinelli said.The Bluestone Group has around A$2.5 billion of client assets, of which around one-third are based in New Zealand.