BNK Banking Corp has established a mortgage securitisation program, with Goldman Sachs providing up to A$500 million of funding.
It is the second funding deal BNK has done in as many months. In April, it established a warehouse program worth $250 million with Blackstone as the key funding partner.
The funders are backing BNK despite its recent poor performance. BNK Banking Corporation’s banking division lost $1.4 million in the December half-year and its wholesale lending division lost $433,000.
The group made a profit thanks to its mortgage aggregation division, Finsure, which made a profit of $4.4 million.
The banking division also lost $2.3 million in 2019/20.
BNK’s loan book currently stands at $438 million and its deposit book is $581 million. Another lender in the group, Better Choice Home Loans, which uses a combination of BNK funding and white label funding lines, has a loan book worth $2.4 billion.