Fidelity National Financial officially announced that it will acquire Lender Processing Services, following a HousingWire report on Thursday stating buyout talks were in the works.  

FNF (FNF) will buy the outstanding common stock of LPS (LPS) for $33.25 per common share for a total equity value of approximately $2.9 billion, LPS said. 

In addition, LPS announced FNF will combine its ServiceLink business in a new consolidated holding company.

"As the mortgage industry continues to face increasing regulation, participants in the industry are seeking out those strategic partners who offer quality, comprehensive solutions, a strong balance sheet and a commitment to innovation," said Hugh Harris, president and CEO of LPS. 

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"We have set a target of $100 million for cost synergies and are confident that we can meet or exceed that goal," he added. 

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