Home Point Financial Corporation (“Home Point”) today announced that it has completed its acquisition of Stonegate Mortgage Corporation (“Stonegate Mortgage”).
“The successful completion of this acquisition is an important milestone for us,” said Willie Newman, Home Point’s Chief Executive Officer. “Home Point will now have full coverage in all channels of origination, as well as warehouse lending offerings. In addition, the acquisition brings an in-house servicing platform to Home Point, giving us the ability to directly manage relationships with our customers. The most exciting part is combining the experience and talent of these two great companies in the service of our customers.”
“Stonegate Mortgage always has been focused on delivering a superior customer experience,” said former Stonegate Mortgage Chief Executive Officer Jim Smith, who will serve as the combined organization’s Chief Operating Officer. “We are delighted to join the Home Point team to help customers achieve the American dream of homeownership.”
As previously disclosed, Stonegate Mortgage’s board of directors unanimously approved the transaction following a comprehensive review of the transaction and strategic alternatives. Stonegate Mortgage’s stockholders overwhelmingly approved all proposals relating to the transaction at a special meeting of stockholders held on April 27, 2017.
Pursuant to the terms of the merger agreement, announced on January 27, 2017, each issued and outstanding share of Stonegate Mortgage common stock (other than certain excluded shares) was converted into the right to receive $8.00 in cash, without interest. As a result of the acquisition, Stonegate Mortgage stock will cease trading, and will be delisted from, the New York Stock Exchange.
Houlihan Lokey acted as financial advisor to Home Point, and Kirkland & Ellis LLP acted as legal counsel to Home Point.
Barclays and FBR Capital Markets & Co. acted as financial advisors to Stonegate Mortgage, and Sullivan & Cromwell LLP acted as legal counsel to Stonegate Mortgage.