Why fund managers see value in Humm Group after its boardroom shake-up
A contested takeover battle and a Takeovers Panel ruling against the former board have reshaped Humm Group, with managers pointing to a wide valuation gap.
30 Jun 2026 · 5 min read
In short
Humm Group's board was overhauled in 2026 after an activist campaign backed by Collins St Asset Management and Jeremy Raper succeeded in removing longstanding leadership.
The Takeovers Panel ruled against the former board's handling of a rival takeover proposal from Credit Corp Group and ordered the chairman to surrender additional shares to ASIC.
Collins St Asset Management estimates Humm Group's underlying asset value at above 90 cents per share, compared with a share price of around 47 cents in June 2026.
Consumer and business lender Humm Group is emerging from one of the more dramatic boardroom fights on the ASX. Collins St Asset Management's June 2026 Quarterly Report described a period of board renewal following a successful challenge to longstanding leadership, with the reconstituted board now actively considering strategic options, including asset sales, to unlock shareholder value.
A three-way battle for control
The saga ran through the first half of 2026. Chairman Andrew Abercrombie's 58 cent takeover proposal was rejected by shareholders, while Credit Corp Group disclosed a rival non-binding proposal of up to 77 cents that Collins St Asset Management said the board had sat on for a month before disclosing it during a contested boardroom vote. Tamim Funds Management's March 2026 Monthly Report detailed how the Takeovers Panel ruled against the incumbent board's handling of the Credit Corp approach, ordering it to allow due diligence access, while also finding the chairman's purchase of an additional 3% stake unacceptable and ordering those shares surrendered to ASIC for sale.
On our conservative valuations, HUM should trade between 90c - $1 per share but currently sits at just 70 cents.
— Collins St Asset Management, Quarterly Report, December 2025
Ryder Capital took a different path, completing its exit on governance grounds in December 2025 even as the corporate contest was building. Collins St Asset Management remained through the volatility, and its March 2026 Quarterly Report noted the board renewal push it had supported alongside activist investor Jeremy Raper had created short-term turmoil but also underscored the company's undervaluation, given growing earnings, a $125 million cash balance and potential for a takeover or capital return.
What managers are watching next
With the Extraordinary General Meeting resulting in the removal of the incumbent board, Tamim Funds Management's view was that the endgame remains a takeover by Credit Corp around 80 cents, though not without further distraction from the founder and his 26% shareholding. Collins St Asset Management's most recent commentary in June 2026 puts the underlying asset value above 90 cents against a share price of around 47 cents, with the new board's willingness to consider asset sales the next catalyst managers are tracking.
Questions
What happened with Humm Group's board?
Following an activist campaign backed by Collins St Asset Management and Jeremy Raper, Humm Group's shareholders voted to remove its longstanding chairman and board members after the Takeovers Panel found the board had mishandled a rival takeover proposal.
Is Humm Group a takeover target?
Humm Group has faced competing approaches, including a rejected 58 cent proposal from its former chairman and a non-binding proposal of up to 77 cents from Credit Corp Group, with fund manager Tamim Funds Management expecting a Credit Corp takeover around 80 cents.
What is Humm Group's estimated value according to fund managers?
Collins St Asset Management estimates Humm Group's underlying asset value at above 90 cents per share, well above the roughly 47 cents the stock traded at in June 2026, citing growing earnings and a large cash balance.
4 managers, 14 comments, with each manager's latest recorded position.
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