Under the deal, which is pending approval by regulators, the assets managed by Pepper Advantage in the UK will increase to around £50bn.

The takeover of Computershare’s mortgage servicing business will include its Topaz Finance and Zephyr lending arms.

Pepper Advantage plans to migrate its entire UK asset base, including the servicing of consumer, residential mortgage and commercial loans onto its proprietary PRISM platform.

The company says this expansion will allow it to benefit from economies of scale when it comes to servicing and automation, as well as the ability to draw insights from a bigger data set.

Pepper Advantage group chief executive Fraser Gemmell says: “This acquisition is a significant step forward in our mission to use technology to transform the customer experience and improve the service they receive.

“It is also a milestone for Pepper Advantage as we grow our UK AUM and significantly expand our capacity to serve a wider client base.

“This strategic move reflects our ongoing commitment to enhance credit management through technology; strengthen our platform capabilities; broaden our data insights; and support better outcomes for clients and customers.

“Computershare has been a great steward of the loan services business, and I am thrilled to welcome its talented UK mortgage team to the Pepper Advantage family as we embark on this exciting journey together.”