Assetora Boosts Cash, Secures $700M Mortgage Management Role, and Gains Fund Control
Assetora Limited has strengthened its financial footing with over two quarters of funding and secured a pivotal role as Responsible Entity of the DomaCom Fund, alongside a strategic $700 million mortgage management agreement.
- Appointed Responsible Entity of DomaCom Fund, enabling fund reopening
- Signed binding term sheet for $700M mortgage portfolio management
- Improved cash position with $742k on hand and restricted cash
- Strategic partnership with EquitiFund to drive recurring revenue
- 60-day timeline to finalise mortgage management agreement
Assetora’s New Role in DomaCom Fund
Assetora Limited has reached a significant milestone by becoming the Responsible Entity (RE) of the DomaCom Fund, following a unitholder vote and official ASIC registration. This appointment replaces Melbourne Securities Corporation Ltd and grants Assetora full governance and compliance control over the fund. The move is expected to lift previous restrictions, allowing the fund to reopen to new investors and reactivate its secondary market, a critical step for liquidity and growth.
Strategic Mortgage Management Partnership
Earlier this quarter, Assetora signed a binding term sheet with EquitiFund Ltd to manage a mortgage portfolio initially valued at $350 million, with potential expansion to $700 million over five years. This agreement promises a stable revenue stream from day one and enhances Assetora’s capabilities in mortgage origination and oversight. While final contract execution has been delayed, recent developments; including a reinstated $650,000 deposit held as restricted cash; signal renewed momentum toward formalising the partnership within a 60-day timeframe.
Financial Position and Operational Focus
Assetora’s cash position improved this quarter, ending with $742,000 in cash and equivalents, including the restricted deposit from EquitiFund. This provides the company with operational runway exceeding two quarters, reducing immediate capital raising pressures. The company’s internal teams have successfully managed the RE transition and are now focused on reigniting capital inflows, relaunching the secondary market, and delivering investment opportunities across diverse sectors such as real assets, credit, healthtech, and AI.
Looking Ahead
With the foundation laid for scalable, recurring revenue growth, Assetora is positioned to expand its Funds Under Management and leverage its technology platform and advisor network. The upcoming finalisation of the mortgage management agreement and the reopening of the DomaCom Fund are pivotal catalysts that could unlock significant value and market confidence.
Bottom Line?
Assetora’s strategic moves set the stage for growth, but final contract execution and fund reopening remain key watchpoints.
Questions in the middle?
- Will the formal Mortgage Management Agreement with EquitiFund be executed within the 60-day timeline?
- How quickly will the DomaCom Fund reopen to new investors and reactivate its secondary market?
- What impact will the mortgage portfolio management deal have on Assetora’s recurring revenue and profitability?
