REA Group Goes Deeper Into Mortgages with Investment in Non-Bank Lender, Athena Home Loans

The Australian portal operator REA Group has announced its acquisition of a 19.9% interest in Athena Home Loans, a leading digital non-bank lender in Australia. The transaction, valued at up to $62 million and subject to regulatory approval, will be funded from REA’s existing cash reserves, with REA securing two seats on Athena’s Board.

REA and Athena first partnered in 2022, combining Athena’s home loan products with REA’s distribution network through its Mortgage Choice brand. In June 2023, the companies launched the Mortgage Choice Freedom suite of white-label products, which exceeded expectations by delivering $1.2 billion in settlements for FY24.

REA Group CEO Owen Wilson said, “REA’s proposed investment in Athena will further enhance our existing partnership and reinforces our commitment to providing Australian homebuyers with greater choice and a seamless consumer experience when finding and financing property.”

Nathan Walsh, CEO and Co-Founder of Athena Home Loans, added, “Athena is on an exciting growth trajectory and we’re thrilled to have the support of a culturally-aligned company like REA, building on the proven success of our partnership to date.”

REA Group has a long and varied history in the mortgage business. The portal specialist first tried to break into the industry back in 2006 when it launched REA Home Loans as a joint venture with Ray White's mortgage business only to divest from it 18 months later. After one more failed attempt under the same name, the company decided to go down the M&A path and agreed to pay A$244 million for the ASX-listed mortgage brokerage, Mortgage Choice in 2021.