APRIL 05 2022
- The new company Bilthouse creates a leading group for mortgage brokerage, generating a combined mortgage financing volume of around EUR five billion, teaming up to 700 people
- Private Equity investor Nordic Capital will actively support Bilthouse as majority shareholder with its sector expertise as well as additional growth capital of EUR 30 million
The financial services providers Baufi24 Baufinanzierung AG, Hüttig & Rompf AG and Creditweb GmbH are joining forces under the umbrella of the new Bilthouse Group. Nordic Capital, a leading private equity investor, will become the majority shareholder of Bilthouse. Nordic Capital will, in partnership with the founders and the management, actively support the new company’s growth, drawing on its experience from previous investments in financial services providers and comparison websites. Alongside its initial investment in the company, Nordic Capital will provide an additional primary capital investment of EUR 30 million to the new holding company, which will help Bilthouse combine and grow its strong online and offline capabilities to create clear value-add for end customers. From the start, Bilthouse will be one of the leading players in the German B2C segment for mortgage brokerage.
"Bilthouse will create added value for people seeking real estate financing. Our three brands address different product segments and help our customers get the best possible financing offers. By bundling our core competencies, we will enable even more people to invest into their own homes," says Bilthouse CEO Tomas Peeters.
Together, the Bilthouse brands Baufi24, Hüttig & Rompf and Creditweb employ around 700 people. The companies are currently generating a combined mortgage financing volume of around EUR five billion per year. This combination creates a growth platform that will benefit customers, business partners, banks, and employees alike.
Nordic Capital to become majority shareholder and sparring partner
Bilthouse CEO Tomas Peeters: "Nordic Capital is an experienced financial services investor and will be an important sparring partner as well as a source of impetus for our growing company. I am also pleased that Michiel Goris will continue as our Supervisory Board Chairman. Helvetia Venture Fund and BtoV will also remain as investors."
Christopher Ekdahl, Principal, Nordic Capital Advisors: “Nordic Capital is looking forward to partnering with Bilthouse and to supporting the combination of these great companies. Baufi24, Hüttig & Rompf, and Creditweb all have an impressive track record and very skilful teams. Nordic Capital is convinced of the enormous potential this step has and will actively support the combined company’s ambition to accelerate growth and facilitate consumers’ access to the best possible real estate financing."
Nordic Capital has extensive experience in developing companies in the financial services sector, both through organic growth and acquisitions. Today, Nordic Capital has six portfolio companies in the sector, including online comparison platform Sambla Group, credit management company Intrum, payment services provider Trustly, and digital retail banks Nordax and Bank Norwegian. “Bilthouse is Nordic Capital's first investment in the financial services sector in DACH, a region with a lot of potential at the intersection of financial services and technology,” says Christian Frick, Partner and Head of Financial Services at Nordic Capital Advisors.
Great potential in the growth market for retail mortgages
"As early as 2006, when I founded Baufi24, more and more customers were looking for real estate financing online. Our growth proved us right here," confirms Stephan Scharfenorth, Founder and Board Member of Baufi24. "Personal advice continues to be important and thus our business model complements this trend in an ideal way."
With a volume of EUR 284 billion last year, retail mortgages represent the largest loan category in the German financing market and therefore offer enormous growth opportunities. With increasing specialisation and growing pressure on traditional financial institutions, the market is shifting toward independent brokers. Bilthouse’s large network combined with the necessary know-how makes it possible to compare prices and thus offer customers the best possible conditions in the highly fragmented market with over 1,000 banks.
Bilthouse will draw on this potential in the attractive German real estate market and help people find the best possible financing options. “The market is shifting towards independent intermediaries. Our multi-brand strategy provides the best environment for personal advisory: advisors with entrepreneurial thinking and motivated employees combined with a smart technological platform to automate core processes," says Michael Lorenz, Board Member and Co-Founder at Baufi24.
Baufi24, Hüttig & Rompf and Creditweb: Independent brands, joint technology
The Bilthouse companies will keep their well-established brands and serve their customers according to their core competencies. Ditmar Rompf, Founder and CEO of Hüttig & Rompf AG: "The purchase of a property is probably the biggest investment decision in a person's life. There, the personal consultation remains essential. Hüttig & Rompf has a strong network of sales partners and decades of expertise in offline marketing."
Bilthouse will focus on digitisation with the objective of accelerating processes through technology and artificial intelligence, while the quality of advice remains individual and personal.
In the future, Hüttig & Rompf and Creditweb will among other things benefit from Baufi24’s CRM software FinLink, which supports the advisors in the independent brokerage of real estate financing. Through the interplay between sales, the lead store, and FinLink's CRM system, Bilthouse expects to grow strongly going forward.
"Bilthouse will provide customers with access to new tools and improved information for German mortgage financing, also thanks to FinLink's sophisticated technology. This also enables job security for all employees and the expansion of expertise through the hiring of additional sales employees and specialists," emphasises Horst Kesselkaul, Managing Director of Creditweb.
Baufi24 also offers Kredit24 for consumer loans and LoanLink24 for mortgage financing for expats. English-speaking Bilthouse clients can tap into LoanLink24 - enabling Bilthouse to offer specialised advice across all brands for this clientele.
The investments will be made by Nordic Capital X. The terms of the transaction were not disclosed. The transaction is subject to customary regulatory approvals.
Anna Friedrich, Head of PR & Communications
Tel.: +49 151 18600747
Nordic Capital Advisors
Katarina Janerud, Communications Manager
Tel: + 46 8 440 50 50
Baufi24 Baufinanzierung AG with its headquarters in Hamburg is a leading retail mortgage financing intermediary in Germany. The fintech stands for smart, innovative real estate financing. With its innovation-driven business model, Baufi24 compares the offers of more than 500 banks, insurance companies and building societies for its customers. The aim is to provide transparency for interest rate conditions and to enable quick loan approvals. Baufi24’s offer also includes support in the property search, free property valuation and a financing certificate. Its digital offering is combined with 80 local branches for personal advice on site as well as via video. The Baufi24 Group includes the consumer offerings Baufi24, Kredit24 and LoanLink24 as well as the B2B company FinLink. The group currently employs 150 people at its headquarters in Hamburg and its offices in Berlin and Munich.
About Nordic Capital
Nordic Capital is a leading private equity investor with a resolute commitment to creating stronger, sustainable businesses through operational improvement and transformative growth. Nordic Capital focuses on selected regions and sectors where it has deep experience and a long history. Focus sectors are Healthcare, Technology & Payments, Financial Services, and selectively, Industrial & Business Services. Key regions are Europe and globally for Healthcare and Technology & Payments investments. Since inception in 1989, Nordic Capital has invested more than EUR 19 billion in over 120 investments. The most recent entities are Nordic Capital X with EUR 6.1 billion in committed capital and Nordic Capital Evolution with EUR 1.2 billion in committed capital, principally provided by international institutional investors such as pension funds. Nordic Capital Advisors have local offices in Sweden, the UK, the US, Germany, Denmark, Finland, Norway and South Korea. For further information about Nordic Capital, please visit www.nordiccapital.com
“Nordic Capital” refers to, depending on the context, any, or all, Nordic Capital branded entities, vehicles, structures and associated entities. The general partners and/or delegated portfolio managers of Nordic Capital’s entities and vehicles are advised by several non-discretionary sub-advisory entities, any or all of which are referred to as “Nordic Capital Advisors”
About Hüttig & Rompf AG
Hüttig & Rompf AG, founded in 1988, specialises in the brokerage of retail mortgage financing and is a leading retail mortgage financing broker in Germany. It employs a team of 300 FTEs, including 190 construction financing consultants, at 35 locations throughout Germany. The company's partner network comprises 500 partner banks and savings banks and 2,750 real estate sales partners.
About Creditweb GmbH
At Creditweb, specialised experts are committed to the retail mortgage financing of their customers. As one of the largest providers of retail mortgage financing in Germany, the company determines the best conditions for real estate projects on the basis of more than 400 offers from local and nationwide banks. Creditweb is independent and not tied to any institutions.