South Canterbury receivers sell Face Finance

Photo / Dean Purcell

The receivers for South Canterbury Finance have sold a chunk of the failed finance company's loan book in what they said was a key milestone for the asset sales process.

Receivers Kerryn Downey and William Black, of McGrathNicol, said GE Capital New Zealand Equipment Finance had acquired over $100 million of commercial loan book assets from Face Finance Ltd, a South Canterbury Finance subsidiary.

Face Finance is involved in "big ticket" financing in the transport and infrastructure sectors.

It has operated on a largely standalone basis from the rest of the South Canterbury Finance Group since establishment with a separate distribution network and customer relationships, the receivers said in a statement.

The transaction followed a competitive sale process, with Deutsche Bank AG New Zealand acting as sale adviser to the receivers.