(1 August 2007 – Australia) St George Bank has sold factoring specialist Scottish Pacific to BA Venture for an undisclosed sum.BA Venture is a joint venture between Balmain Commercial and Allco Finance Group.
The two parties are expected to finalise the deal before the end of this financial year.
St George bought Scottish Pacific, which focussed on providing factoring products to SMEs in Australia and New Zealand, in 2000.
The bank said the sale would not impact its earnings per share targets of 11 to 12 percent growth for 2007, as previously announced to the market.
St George said its invoice discounting business, developed to support the middle market growth of Scottish Pacific, had been incorporated into the bank.
However, the core factoring business will be sold.