Real estate services and technology firm SitusAMC just acquired the parent company of compliance technology provider ComplianceEase, the latest in a series of mergers and acquisitions that are shaking up the mortgage tech space in the last year.
ComplianceEase will operate as a wholly owned subsidiary of SitusAMC with no planned changes to existing staff or operations, SitusAMC said in a news release on Tuesday.
John Vong, a founder of ComplianceEase, will stay on as chairman, and CEO Michael Jackman will also remain.
ComplianceEase, founded in 2001, is the mortgage industry’s largest provider of compliance software for mortgage originators, secondary market players and regulators. The firm says it has processed audits for over 90 million loans in the last two decades. Its product suite includes mortgage compliance systems, auditing technology, and a portal to verify state and federal licenses and registrations.
“This acquisition is an important step in our goal of bringing greater automation and transparency to the residential market,” said SitusAMC CEO Michael Franco in a statement. “The combination of the ComplianceEase product set and our existing technologies enhances our position as a leading technology provider for the mortgage industry. Clients that fully participate in our ecosystem of solutions will ultimately be able to reduce secondary market trading diligence from days to minutes.”
Terms of the deal were not disclosed.
SitusAMC has embarked on something of an acquisitions spree in the past year, picking up analytics company Baseline Analytics and fintech firm Alan King and Company.
With the acquisition of ComplianceEase, SitusAMC says it’s beefing up its resi tech products, which now includes systems of record on custodial and warehouse space (emBTRUST and ProMerit); product, pricing and eligibility for loan conduits (Rate Lock System); document classification and data extraction (Acuity); document management (DocAcuity); and loan accounting (sbo.net).
SitusAMC is competing in the same space as highly capitalized rivals Black Knight Financial Services, and Intercontinental Exchange. The latter just closed on an $11 billion deal to acquire Ellie Mae, a leading provider of cloud-based services for the mortgage finance industry.
New York-based Berkery Noyes served as exclusive financial advisor to ComplianceEase.
Correction: An earlier version of this article misspelled ComplianceEase CEO Michael Jackman’s name.