Consolidation continues in banking industry
NAB is believed to be preparing to announce it will buy GE Money owned Wizard Home Loans within days. In the last few months Wizard has lost some key senior executives and some branches have closed amid disputes over commissions and lack of consultation over rate changes. Wizard has two per cent of the mortgage market in Australia. The buy out continues the consolidation of smaller lenders into the major banks after CBA recently bought a stake in Aussie Home Loans and Westpac purchased troubled lender and broker RAMS. Some smaller credit unions are expected to announce mergers in the near future. Bank of Queensland, Suncorp and Bank of Adelaide are also thought to be merger or takeover targets for the major banks.
Source: The Australian