Home appliances business Fisher & Paykel on Thursday said it plans to review future options for its finance business, following an internal review which affirmed continued focus on the appliances side of the firm.
In a statement to the stock exchange, the company said it had received a number of unsolicited expressions of interest to acquire its finance arm.
Given the strong interest, FPA is seriously investigating all options for the business.
Taking into consideration the current market situation, managing director John Bongard commented the review is good timing.
"We expect market consolidation will occur in the finance sector in the short to medium term and so the timing is right to consider our strategic options, including a possible sale.
"Both the Farmers Card and Q Card businesses have performed well in the finance portfolio and these will be attractive assets to potential buyers," he said.
In its half-year results reported last week, FPA reported the finance business delivered better than expected results.
Normalised operating profit before acquisition interest and tax for the six months to 30 September 2007 is $13.371 million, compared with $13.175 million for six months to 30 September 2006.
It said lower operating costs contributed to this result.
In the statement on Thursday, the company said Fisher & Paykel Finance has performed consistently well for the group, with a strong portfolio of products supported by diverse funding base.
The New Zealand-based company has a market capitalisation of about AUD$828 million and is listed on both Australian Stock Exchange and New Zealand Stock Exchange.
FPA shares rose as much as 6.8% to $3.15 during intraday trading on ASX, before easing down to close at $3.04.
