Challenger bank Aldermore and car finance provider MotoNovo Finance have confirmed they have successfully completed a merger.
Aldermore was acquired by South African bank FirstRand in March 2018, while MotoNovo has been part of the FirstRand portfolio since 2006.
Aldermore was established in 2009, and at the end of December 2018, lending to customers stood at £9.4bn.
Aldermore chief executive Phillip Monks said: “This move will create real benefits for our customers and shareholders. It brings together the precocious entrepreneurialism of two organisations which together can achieve even more.
“With a broader customer base, we can harness the combined strength and energy of our two like-minded organisations to achieve great things for all our customers. We already benefit from similar customer-focused cultures and there is now a real opportunity to build our respective strategies together, armed with the firepower of our parent, FirstRand.”
MotoNovo Finance chief executive, Mark Standish, added: “Joining the recently-acquired Aldermore family brings us the strategic benefits of greater sustainability through a lower cost of funds and greater diversification. MotoNovo will now begin to write new business from Aldermore’s balance sheet; a move that will put us in a far stronger competitive position.”