O2 Mortgage, a broker that does business in the reverse mortgage space as Oxygen Mortgage, was acquired by JZZ Technologies as part of its real estate development strategy.
Terms of the deal were not disclosed, though Oxygen Mortgage president and CEO Rob Egeland told National Mortgage News that the deal price is a “low seven-figure number.” The deal is expected to close in the next 60 days.
“Oxygen Mortgage’s goal is to grow JZZ’s real estate development division,” the sale announcement read. “Having an experienced, quality mortgage division levels the company up with the largest builders in the country.”
The acquisition will also come with a “significant capital investment” in the mortgage company’s technology processes.
“I couldn’t be any more excited about joining with JZZ Technologies,” Egeland said. “This is truly a great scenario for both of our companies. We have so much potential together to contribute to a complete service experience and the overall success of the real estate development division.”
When reached by phone, Egeland explained to RMD that the company not only plans to remain committed to the reverse mortgage space, but also plans on expanding its capabilities within it through the additional technology investment JZZ will be making into the company’s processes.
“We’re pleased to close on the Oxygen acquisition,” said Charles Cardona, CEO of JZZ. “Robert Egeland and his team at Oxygen Mortgage add a whole new capacity for our real estate division. Under Rob’s guidance, we’re confident that we can use our joint resources to build a highly successful real estate division which we anticipate will create high-quality projects that generate major revenue for JZZ.”
JZZ Technologies trades on the OTC Pink marketplace under the “JZZI” designation.
