€1.7bn Dilosk Mortgage Business to Join €75bn Pepper Advantage Platform
Pepper Advantage agrees acquisition of Dilosk, bringing together mortgage origination, servicing and credit management capabilities as Irish lender continues to operate under the ICS Mortgages brand.
17 July 2026 | editor@irishrealestate.news
Dilosk DAC, the Irish residential mortgage lender and servicer behind the ICS Mortgages brand, has agreed to be acquired by Pepper Advantage, the international credit management and technology business owned by global private investment firm J.C. Flowers & Co.
The transaction, which remains subject to regulatory approval and customary closing conditions, is expected to complete in the third quarter of 2026. Financial terms have not been disclosed.
The acquisition brings together Dilosk’s €1.7 billion Irish mortgage portfolio with Pepper Advantage’s international credit management platform, which manages approximately €75 billion in assets across Ireland, Spain and the UK.
Founded in 2013, Dilosk has grown into one of Ireland’s established non-bank residential mortgage providers. The company acquired the historic ICS Mortgages business from Bank of Ireland in 2014 and has since expanded its offering across owner-occupier, buy-to-let and bridging finance.
The lender has also developed a significant funding platform through the capital markets. Since its establishment, Dilosk has completed 11 public residential mortgage-backed securities (RMBS) transactions, issuing more than €3.2 billion of bonds through its securitisation programme.
According to the companies, the transaction combines Dilosk’s mortgage origination and servicing capabilities with Pepper Advantage’s technology and credit management platform, creating an integrated lending and servicing business spanning the full credit lifecycle.
The combined platform is expected to offer institutional investors the ability to deploy capital into mortgages originated and serviced through a single integrated lending, servicing and technology infrastructure.
Fergal McGrath, CEO and co-founder of Dilosk, described the transaction as the next stage in the company’s growth following its establishment in 2013 and the acquisition of ICS Mortgages a year later.
He said becoming part of Pepper Advantage would provide additional scale, technology capabilities and long-term investment support while enabling Dilosk to continue building its position in the Irish mortgage market.
Fraser Gemmell, Group CEO of Pepper Advantage, said the acquisition strengthens the group’s growth strategy by expanding its credit origination capabilities, diversifying its Irish operations and increasing the scale of its European assets under management.
Following completion, Dilosk will continue to trade under the established ICS Mortgages brand. The existing management team will remain in place, and the business will continue operating within its current regulatory framework while progressing its existing strategic initiatives.
Pepper Advantage operates across multiple lending asset classes, including residential and commercial mortgages, real estate finance, SME lending, consumer finance and asset-backed lending. The company provides credit management and servicing solutions to institutional investors, banks, fintechs and non-bank lenders across Europe, Asia and the UK.
The acquisition reflects continuing consolidation within Ireland’s specialist mortgage lending sector, where non-bank lenders have expanded their market share over the past decade through capital markets funding, securitisation programmes and institutional investment. The combination is expected to strengthen both companies’ ability to support institutional capital deployment into Irish residential lending while broadening servicing and technology capabilities across the European market.
