Australian group, PEXA has agreed to acquire remortgage processing firm Optima Legal from Capita.
Optima Legal is a high-volume remortgage processing firm headquartered in Leeds that provides legal services in the UK remortgage market. It is one of the largest mortgage processing firms in the UK, with approximately 22% share of the remortgage market and direct relationships with six of the UK’s top eight lenders.
The acquisition supports PEXA’s growth plans in the UK digital conveyancing market.
PEXA Group Managing Director and CEO, Glenn King, said: “The acquisition of Optima Legal presents a fantastic opportunity to facilitate the roll-out of digital property settlements in the UK.
“In Australia the market understands and has already largely embraced the benefits of a digital property settlement solution, so we look forward to demonstrating that value to a new audience. A recent consumer survey conducted by PEXA concluded that as many as one in five UK mortgage borrowers looking to remortgage in the past 24 months abandoned the process altogether.
“A digital settlement solution will deliver improved accuracy and efficiency while reducing costs. Given the significant volume of remortgaging activity in the UK market – and with volumes expected to increase as interest rates continue to rise – more streamlined systems are urgently needed for the benefit of conveyancers, lenders and, ultimately, borrowers.”
The acquisition of Optima Legal will be funded from PEXA’s existing cash reserves and is subject to customary transaction conditions and approvals, including from the Solicitors Regulatory Authority of England and Wales, and is expected to complete before the end of the calendar year.
