Westpac (ASX:WBC) has completed the sale of its wholesale dealer loan book of around $1 billion in receivables.
The news comes after the announcement in June, of Westpac’s (ASX:WBC) intention to sell its vehicle dealer finance and novated leasing businesses to Angle Auto Finance.
The transition of Westpac’s retail, wholesale dealer and introducer networks to Angle Auto Finance is under way and is expected to complete by the end of March 2022.
According to Westpac, the transaction is expected to add 6 basis points to Westpac’s Common Equity Tier 1 capital ratio and generate an accounting gain on sale.
Westpac’s chief executive for Specialist Businesses, Jason Yetton said the sale continued to simplify the group’s operations while supporting the Auto Finance industry.
“Westpac is confident that Angle will provide a high level of support for dealers and customers and is committed to investing and growing the business to help more Australians get behind the wheel.”
Shares in Westpac (ASX:WBC) are trading 1.1 per cent lower at $20.79.