Queensland-based Mortgage Mart of Australia, a mortgage manager with a loan portfolio exceeding $1 billion, has been snapped up by fellow Queensland digital lender WLTH in a deal worth more than $10 million, while Melbourne accounting software app maker TaxLeopard has bought rival Airtax for $500,000.

The Australian Financial Review called the start of a tech M&A wave earlier this month, due to a divide opening up between well-funded tech firms and those that have less prospect of raising affordable capital to continue growing in a higher interest rate environment.

WLTH has cash on hand to make its first acquisition after closing a $14 million funding round led by Melbourne-based investment firm Rajomon and Kina Bank, an ASX-listed digital bank from Papua New Guinea.

After completing the deal WLTH will have a loan book exceeding $1.5 billion, with co-founder and chief executive Brodie Haupt saying it would keep the brands separate.

Read the full article on the Australian Financial Review.