Stonegate Mortgage Corp. has completed the acquisition of a significant wholesale lending business in a move that is likely to push its overall production up by three-quarters.
A deal announced last month had Stonegate acquiring the wholesale lending division of Nationstar Mortgage Holdings Inc.
Indianapolis-based Stonegate already operates a wholesale origination channel. But the division only generated $1.2 billion in production during the first nine months of this year.
Mortgage broker business, however, is likely to soar with the acquisition of the Nationstar unit — which originated $4.8 billion during the same period.
On Thursday, Stonegate — which originated $6.3 billion from all origination channels during the first three quarters of 2013 — announced that is has completed the acquisition.
Included in the deal were 200 employees and certain distributed retail assets.
Stonegate Chief Executive Officer Jim Cutillo called it “an exciting time” in the announcement and said the company will continue to build its national presence.
As a result of the transaction, Stonegate will realign its management structure.
Former Nationstar executive Kevin McCafferty will now lead Stonegate’s third-party origination channel as executive vice president – third party origination.
Three third-party origination sales division will be headed by Michael Cullen, Paul Wyner and Greg Armstrong. All three have been designated as senior vice presidents and will report to McCafferty.
Former Nationstar executive Fred Bolstad is executive vice president – national sales manager with responsibility for retail
Todd Fliss, Mark Etchison and Vic Polich will each serve as senior vice presidents reporting to Bolstad.
