Covius Holdings, the technology solutions provider formerly known as LenderLive, just saw its business expand significantly with the completion of its acquisition of a sizable chunk of Chronos Solutions.
On Monday, Covius announced that it had completed a deal first announced in June to acquire Chronos’ credit, flood, income and tax verification services; government services; REO management and disposition; online foreclosure auction; and homeowners association tracking units.
It also announced that it officially secured a capital investment from New Residential, which will have the company owning a minority stake in Covius with the option to increase its ownership position through specified future investments.
Covius, a 2019 HW Tech100 winner, said the additional services created by the acquisition of Chronos’ business segments will now be offered through two new divisions: Covius Origination Solutions and Covius Servicing and Capital Markets Solutions.
The company said Covius Origination Solutions will include credit reporting and modeling; borrower verification services; flood and HOA determinations; lien preparation and tracking; and valuations.
Its servicing and capital markets segment will offer document management; loan modification and loss mitigation; REO management; asset management; compliance management; and due diligence and business process automation services.
The move is a continuation of Covius’ strategy to shift more into technology, a plan that led to the company’s name change as well.
Part of that shift included the company’s 2018 acquisition of reQuire Holdings, a group of technology-enabled companies that provide compliance, quality assurance and valuation solutions for both the residential and commercial real estate markets.
The company later sold off its mortgage fulfillment and secondary marketing division, LenderLive Network, to Computershare Loan Services.
And now, it's growing its technology business.
Covius Chairman and CEO Rob Clements said the acquisition significantly expands Covius’ digital services.
“Like the reQuire acquisition last year, this acquisition reflects the strategic plan that we have been executing for the past 18 months,” Clements said. “Other key elements in that plan include attracting new capital through our agreement with New Residential and the divestiture of our private-label fulfillment business.”
As part of the deal, Chronos’ key senior management and operating team members will be joining Covius.
“The combined company is designed to effectively serve our 5,500 clients and meet the changing needs of the origination, servicing, asset management and capital market sectors,” said Covius President and COO John Surface. “We are organizing our management team to align with our new client-oriented, go-to-market positioning and accelerate our enterprise-wide digital investments and partnerships.”