Carsales.com Ltd and stratton take equity investment in RateSetter Australia
Sydney, 12 March 2015
RateSetter Australia Pty Ltd (RateSetter Australia), the first and only peer-to-peer (P2P) lender available to all Australians, announced today that Stratton Finance Pty Ltd (stratton) and stratton's 50.1% owner carsales.com Ltd (ASX:CAR) (carsales) will together invest approximately $10 million in Sydney-based RateSetter Australia, taking a combined 20% equity stake in the company.
RateSetter Australia Chief Executive Officer, Daniel Foggo, said: "RateSetter Australia's innovative P2P lending model provides borrowers with lower-rate loans, delivered quickly and efficiently using our cutting-edge technology. We see a natural fit with carsales, which is one of Australia's original online innovators - its willingness to invest in RateSetter Australia is a vote of confidence in our business model."
Carsales.com Ltd CEO, Greg Roebuck, said: "Innovation is core to everything we do and we are constantly searching for new ways to add value for our customers. As one of the country's original disruptors, we see our investment in RateSetter Australia and the budding local P2P market as a great opportunity to deliver returns for our stakeholders."
Chief Executive of stratton, Rob Chaloner, said: "As a technology business operating in the finance sector, we expect to see RateSetter Australia loans fill a number of gaps in the Australian automotive financing market."
With vast automotive and finance industry experience, Mr Chaloner has been appointed to the Board of RateSetter Australia, with Mr Roebuck appointed as his alternate.
Mr Foggo concluded: "Car finance represents about 40% of personal loans in Australia, so we see this as an opportunity to change the game for Australia's burgeoning P2P lending industry."
RateSetter Australia launched to the public in November 2014, offering borrowers loans between $2,001 and $35,000, and offering Australian retail investors the ability to gain attractive returns through an easy-to-use platform.
Media inquiries to Ben Milsom on mob. 0481 085 312 or email email@example.com
About RateSetter Australia
RateSetter Australia connects investors with creditworthy borrowers who want a simple, competitive personal loan. By using technology to replace traditional middlemen and reduce the costs of providing financial services, investors and borrowers are able to transact directly and share the benefits. RateSetter Australia is the first company in Australia to be licensed to provide P2P lending to retail savers and investors. RateSetter Australia is regulated by ASIC, holding Australian financial service licence number 449176 and Australian credit licence number 449176.
RateSetter Australia was established in 2012 by a local Australian team that saw an opportunity to foster competition and provide Australians with a better deal. Daniel Foggo, Chief Executive Officer, formed a partnership with the RateSetter group from the United Kingdom, the largest peer-to-peer lender in Europe.
The RateSetter group is a P2P lending pioneer, having been the first globally to introduce the concept of a provision fund to help protect investors from borrower late payments or default, helping to make P2P lending simpler and safer. With around 700,000 registered users, the RateSetter group has matched more than 75,000 loans worth circa A$1 billion.
Investors should read the Product Disclosure Statement for the RateSetter Lending Platform before deciding to invest.
Learn more about RateSetter Australia here: www.ratesetter.com.au.
About Carsales.com Ltd
Carsales.com Ltd. (ASX:CAR.AX) listed on the ASX in 2009 and is the largest online automotive, motorcycle and marine classifieds business in Australia; attracting more Australians interested in buying or selling cars, motorcycles, trucks and boats than any other classified group of websites. Carsales.com Ltd.'s first revenues were reported in the financial year 1998.
Carsales.com.au is Australia's number one automotive classified website and in January 2015 attracted almost 19 million visits between its desktop, mobile and app sites. The carsales network of websites also includes Motoring.com.au, bikesales.com.au, RedBook.com.au as well as leading boat, caravan, and truck and machinery classified websites. There were over 28 million visits (sessions) across the carsales network in January 2015 (carsales internal data, Webtrends, Jan 2015).
About Stratton Finance Pty Ltd
Since the company's inception in 1998, stratton has experienced rapid growth and success. In 2003, the business made a strategic decision to focus on technology as a key competitive advantage and utilise the internet as its primary channel for new customer acquisition.
stratton.com.au is now one of the highest traffic generating vehicle finance websites in the country with over a million visitors per year. The business boasts a significant national presence, offering personal, small business and corporate clients a comprehensive range of finance and insurance solutions for cars, boats, commercial vehicles, business equipment, property and more. Find out more at stratton.com.au.