Guaranteed rate to acquire Ste
CHICAGO, January 5, 2021
CHICAGO, January 5, 2021 / PRNewswire / – Guaranteed rate, one of the largest retail mortgage lenders in the United States, announced that it has reached a definitive agreement to acquire Texasbased at Stearns Holdings, LLC from funds managed by black stone. One of the 25 largest national lenders with more than $ 20 billion in volume of origination in 2020, Stearns was founded in 1989 and operates in all 50 states through retail, joint venture, partnership and wholesale channels. The acquisition will allow Guaranteed Rate to strengthen retail loan origination and further expand its JV platform, while developing new multi-channel capabilities.
The pending acquisition comes at a time of significant momentum for Guaranteed Rate, which recorded its best production year ever in 2020. The move builds on Guaranteed Rate’s track record of achievement and performance. integration of successful acquisitions and is directly linked to its goal of becoming the number 1 in the country. mortgage lender.
Guaranteed Rate’s experience and expertise in managing joint ventures and partnership platforms is further enhanced by Stearns Holdings’ strong presence in these channels. Stearns Holdings has an extensive partnership model that includes real estate agent, builder and relocation joint ventures, private label relationships and privileged partnerships with independent mortgage banks. These partnerships include well-known brands such as SoFi and Home Mortgage Alliance. Combining these entities with Guaranteed Rate’s existing joint ventures with Realogy and @properties will create one of the largest partnership platforms in the country. The acquisition also allows Guaranteed Rate to enter the wholesale channel to complement the company’s multi-channel distribution vision.
Guaranteed Rate expects the deal to generate significant synergies through strengthened capital markets execution and shared services capabilities that will drive efficiency, growth and profitability.
“We are delighted to bring Stearns Holdings into the Guaranteed Rate family,” said the President and CEO of Guaranteed Rate. Victor Ciardelli. “Pairing the incredible talents of the Stearns organization with those of our existing team exemplifies the best of the best in the mortgage business, creating an even more powerful platform. “
The guaranteed rate acquires the company from black stone, which will hold an interest in the guaranteed rate and will continue to support the integration and growth of the guaranteed rate vision. “We are completely late Victor Ciardelli and the whole guaranteed rate team ”, declared Nadim El Gabbani, Senior Managing Director at black stone. “This combination creates a powerful player in the mortgage industry and a player who we believe is uniquely positioned for long term success.”
Going forward, Rate Guarantee plans to integrate and rename the retail operations of Stearns Holdings as Rate Guarantee. The company’s wholesale and partnering activities will remain stand-alone operations, with the current CEO of Stearns David Schneider continue to lead these operations.
“We are delighted with this transaction,” said Schneider. “The Secured Rate is a tremendous player in the mortgage industry, and this combination will allow our employees and partners to reach more customers, generate more business and guide more people along the journey. home ownership. “
Sidley Austin LLP acted as legal counsel for Guaranteed Rate. Houlihan Lokey acted as financial advisor and Skadden, Arps, Slate, Meagher & Flom LLP acted as legal advisor for black stone and Stearns Holdings, LLC. The acquisition is subject to customary closing conditions, including regulatory approvals, and is expected to be completed in the first quarter of 2021. The description of the transaction contained herein is only a summary and is qualified in its entirety by the definitive merger agreement transaction.
About guaranteed rate companies
The Guaranteed Rate Companies, which includes Guaranteed Rate, Inc., Guaranteed Rate Affinity, LLC and Proper Rate, LLC, has more than 9,000 employees in more than 750 offices across United States. Based at Chicago, Guaranteed Rate Companies is one of the largest retail mortgage lenders in United States, financing on $ 73 billion in 2020. Founded in 2000 and licensed in all 50 states and Washington DC, Guaranteed Rate Companies has helped homeowners nationwide with home purchase loans and refinances. The company has established itself as an industry leader by introducing innovative technology, offering low prices and providing unmatched customer service. 2017 marked the launch of Guaranteed Rate Affinity, LLC, a mortgage origination joint venture between Guaranteed Rate, Inc. and Realogy Holdings Corp. (NYSE: RLGY), a world leader in residential real estate franchising and brokerage. In 2020, the company launched Proper Rate, LLC, a mortgage origination joint venture between Guaranteed Rate, Inc. and @properties, one of the nation’s largest residential brokerage firms. Collectively, the Guaranteed Rate Companies have won accolades and awards including: Best Lender for Online Service for 2018 by American News and World Report; Best Mortgage Lender For Online Loans And Best Mortgage Lender For Refinancing By Nerdwallet for 2021; Wire HousingTech100 2020 Award for the Industry Leading FlashCloseSM Technology; No. 3 in the ranking Scottish Guidethe best retail mortgage lenders of 2019; ChicagoAgent Magazinethe lender of the year for five consecutive years; Chicago TribuneList of the best places to work for seven consecutive years. Visit rate.com for more information.
View original content to download multimedia:http://www.prnewswire.com/news-releases/guaranteed-rate-to-acquire-stearns-holdings-llc-enhancing-mortgage-joint-venture-leadership-while-building-additional-multichannel-capabilities-3001201365. html
SOURCE guaranteed rate