Fisher & Paykel Appliances yesterday said it might sell its consumer finance business, one of the largest in New Zealand.
F&P Appliances managing director John Bongard told the
Dominion Post the decision to review strategic options for F&P Finance came after "a number" of approaches from "all sorts" of potential buyers during the past six weeks.
F&P Finance, including the Farmers finance division which was acquired four years ago for NZ$188 million, had total assets of NZ$720 million and a loan book of about NZ$537 million. The business had net assets of more than NZ$100 million and reported a net profit of NZ$13.3 million.
"We think the time is good for market consolidation and the option we're pursuing at the moment is to sell," Bongard told the Dominion Post. "But there are other options and another one might be to buy."
GE Money may be the most likely buyer though some banks may also be interested. Some other large consumer finance firms looking for scale, and thus to differentiate themselves from the fallen minnows of the last two years, could also be contenders if they can raise the capital.