Grand Bank, N.A., out of New Jersey inked a deal Friday to sell its ICON Residential Lenders unit to Rushmore Loan Management Services.
The terms of the transaction were not disclosed. Grand Bank also appointed Andrew Pollock CEO of ICON, a position that remained unfilled until this week.
Pollock previously served First California Mortgage Co. as chief administrative officer and president.
Irvine, Calif.-based ICON is a wholesale originator and loan servicer that provides loans through a network of 1,400 mortgage brokers. ICON, the acquisition target, is an approved seller and servicer of Fannie Mae-backed loans and also maintains niche FHA, VA and Ginnie Mae product lines.
Selling off the unit allows Grand Bank to refocus on its core community bank business.
"We are excited to have this opportunity, as ICON’s business is a good complement to Rushmore’s existing mortgage business," said Terry Smith, CEO of Rushmore. "We will be working closely with ICON’s management team to ensure a seamless transition for customers and employees."
The deal is expected to close in either the last quarter of 2012 or the first quarter of 2013.
The buyer, Rushmore Loan Management Services, is a high quality loan servicer that focuses on both performing and non-performing loans.