The Financial Times is reporting that Internet mortgage operations E-Loan UK and E-Loan Europe are to be broken up and sold a year after their launch.
All 130 staff have been given their notices, but 60 jobs may be saved because of the successful sale of the Spanish, Swiss and Italian divisions, E-Loan Europe CEO Mirko Siepmann told the paper.
The companies would not have made a profit for three or four years and so investors decided to sell, Siepman says. E-Loan Europe and E-Loan UK were the recipients of EUR52 million in funding provided by eVentures, At Viso and Vivendi.
E-Loan Inc, the US-based outfit which gave the companies its brand name and technology did not invest any money, according to the report.