UK digital bank Chetwood Financial has bought buy-to-let mortgage lender CHL Mortgages for Intermediaries from Barossa Asset Purchaser Sarl for an undisclosed sum.
The deal will allow Chetwood to grow its mortgage loan book and expand its reach within the mortgage intermediary market, while CHL Mortgages' specialist lending team will complement Chetwood’s soon-to-launch ModaMortgages proposition.
Like CHL Mortgages, ModaMortgages will be a specialist buy-to-let lender, operating exclusively through intermediaries.
However, there will be differences between the two - CHL Mortgages offers the flexibility of blending technology and manual underwriting across a wide criteria range, while ModaMortgages will provide an automated process focused on fast decisions.
Chetwood Financial CEO and founder, Andy Mielczarek, said: “[CHL Mortgages] is an established respected brand in the specialist lending space, and we have ambitions to grow operations further in the months and years to come.
“The [CHL Mortgages] proposition will complement that of our soon-to-launch ModaMortgages’ proposition perfectly.
“We’re excited to see both brands flourish side-by-side - and while they will operate independently, there’s no doubt that having so much specialist lending knowledge and skill within Chetwood will only contribute to their respective successes.”
The two lenders will co-exist independently, each with their own brands, products and teams who will complement one another, but also benefit from the sharing of skills, experience, and expertise by being a part of Chetwood Financial.
CHL Mortgages for Intermediaries commercial director, Ross Turrell, added: “This is a fantastic opportunity to join forces with a digital bank well established in funding buy-to-let mortgages through the intermediary market.
“Chetwood’s ambitious growth plans, which include the launch of ModaMortgages, will enable us to continue to develop our competitive range and broad criteria offering which has been well received by our intermediary partners."
tom.dunstan@ft.com
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