Flagstar Bancorp, a savings and loan holding company, announced today its acquisition of certain assets of Opes Advisors, a full-service mortgage bank and financial advisory firm.
The terms of the transaction were not disclosed, and the deal is subject to customary closing conditions. It is expected to close within the next 30 days.
“They're a strong fit with our strategic goal of growing our retail mortgage business and a good fit culturally,” Flagstar President and CEO Alessandro DiNello said. “We like the deep mortgage experience of their management team; we like their strong purchase mortgage origination focus.”
Flagstar’s new acquisition holds 39 retail locations in California, Oregon and Washington and focuses on markets with strong demographics, producing high credit quality originations. Last year, the company’s 160 mortgage advisors produced about $3 billion in mainly purchase originations.
Flagstar will operate Opes Advisors as a separate division within its own brand, therefore expanding its retail home lending franchise.
“When we were presented with this opportunity, we saw the added strength for both organizations and were amazed to find a like-minded company to preserve and enhance everything we at Opes Advisors had worked so hard to build," said Susan McHan, Opes Advisors' Mortgage Bank CEO, co-founder and president.
This acquisition adds yet another mortgage company to the growing mergers and acquisitions market – a trend which won’t end soon, Menlo Managing Director Rick Roque said recently in an interview with HousingWire.
Roque explained the growing uncertainty surround the future of regulations, the Consumer Financial Protection Bureau and even Dodd-Frank combine to make this aging population of CEOs and founders ready to sell their business.