• Challenger's confidential, non-binding and conditional proposal to acquire Pepper Money is not reasonably capable of execution
• Pepper Money has decided not to proceed with Challenger's revised proposal
• Challenger confirms it has received regulatory approvals for its previously announced $150 million on-market share buyback

Challenger Limited (ASX: CGF) has been informed by Pepper Money Limited's (ASX: PPM) Independent Board Committee that Challenger's confidential, non-binding and conditional proposal to acquire Pepper Money, jointly with Pepper Group ANZ HoldCo Limited (Revised Proposal) is not reasonably capable of execution. Accordingly, Pepper Money has decided not to proceed with the Revised Proposal. Challenger's Managing Director and Chief Executive Officer, Nick Hamilton, thanked the Pepper Money management team for their engagement throughout the process and stated that Challenger looks forward to continuing its commercial relationship with Pepper Money. Separately, Challenger confirms that it has received all necessary regulatory approvals for its previously announced buy-back of up to $150 million of ordinary shares on-market.