New non-bank lender secures first major bank backing in New Zealand
A new non-bank lender, MB Private, has entered New Zealand's private credit market backed by an initial $150 million funding commitment from Westpac New Zealand – the first time one of the country's four major banks has provided institutional funding to a non-bank lending start-up.
A first for the sector
MB Private will manage private credit funds offering property-backed lending to residential borrowers, with loans secured by first mortgages over New Zealand property. The Westpac funding is complemented by a further $20 million in first-loss capital from MB Private's own shareholders, designed to align the interests of the business, its funding partners and investors.
Founder Marcus Morrison (pictured left) said the Westpac backing gives the business a platform to grow into rising demand for alternative lending.
Westpac New Zealand's managing director of institutional and business banking, Reuben Tucker (pictured right), said the bank was "proud to be working alongside MB Private," pointing to the calibre of the leadership team it has assembled.
MB Private chief executive John Cummins, a former global senior banking executive, said the business's aim is "to give wholesale and institutional investors confidence that they are accessing assets originated through the same rigorous underwriting framework MB Private applies to loans entering its own securitised trusts."
Experienced leadership behind the launch
The platform's board draws heavily on major bank experience. Non-executive director Peter Clare previously served as chief executive of Westpac New Zealand, with senior leadership roles also spanning Commonwealth Bank and St George. Fellow non-executive director Mike Skilling was formerly part of BNZ's executive team overseeing business banking and co-founded The Icehouse, one of New Zealand's most active venture capital firms. Director Frank Cui brings large-scale property development experience, a former stint as BNZ's head of Asian banking, and ownership of a Harcourts franchise and mortgage brokerage Everbright Finance. Morrison himself has extensive property investment and lending experience in New Zealand and Australia, where he co-founded a non-bank lender that has originated more than $3 billion in loans.
Timing reflects a fast-growing market
The launch comes as private credit expands rapidly in New Zealand. KPMG's Specialist Lenders Insights Report from March 2026 put loan obligations across the sector at approximately $22 billion, with more than 80% of lenders reporting growth in lending volumes and 75% reporting higher net profit after tax.
Beyond those aggregate figures, the shift is also visible at the adviser level: non-banks currently hold only around 1.5% to 2% of New Zealand's lending market, well below Australia's 12% to 15%. Cheaper offshore institutional capital has been compressing pricing between bank and non-bank lenders in recent years – a trend MB Private's Westpac-backed model looks set to extend.
Morrison said the opportunity for MB Private was "to establish a strong point of difference within it," rather than simply participate in a growing market. The business is targeting a further $500 million in lending capacity once its initial funding tranche is deployed.
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