In a bid to expand its operational roots, Atlanta-based
Ocwen Financial Corp
) completed the acquisition of Sacramento-based Liberty Home
Equity Solutions from
Genworth Financial Inc
). The deal was sealed for $22 million.
GENWORTH FINL (GNW): Free Stock Analysis
GOLDMAN SACHS (GS): Free Stock Analysis
MORGAN STANLEY (MS): Free Stock Analysis
OCWEN FINL CORP (OCN): Free Stock Analysis
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Va.-based Genworth acquired Liberty from Sacramento-based Hanson
McClain Inc. in Jul 2007. Genworth had paid a total amount of $50
million to complete this buyout.
In 2012, Liberty was the 3rd largest lender in reverse mortgage
in the U.S. It provides reverse mortgage to its clients both
directly and through various other means that include
correspondence as well as wholesale channels. Further, it
provides post- retirement security to elders.
With this acquisition, Ocwen will have access to greater market
opportunities that will enhance the company's long-term growth
potential. Subsequently, Ocwen will be well poised to help
seniors by furnishing them with home equity retirement income
solutions that includes Federal Housing Administration (FHA) and
Over the past couple of years, Ocwen has entered into several
significant acquisition deals to expand its mortgage servicing
businesses. In Oct 2012, Ocwen entered into a definitive
agreement to acquire Homeward Residential Holdings Inc. - an
integrated mortgage firm with prime lending and mortgage
servicing operations - from WL Ross & Co. LLC.
In 2012, Ocwen acquired Saxon Mortgage Services Inc. from
) for $59.3 million. Ocwen had also purchased Litton Loan
The Goldman Sachs Group, Inc
) for $263.7 million in 2011.
Ocwen's acquisition spree is anticipated to cater well for the
company as it will boost its mortgage service operations.
Ocwen currently carries a Zacks Rank #2 (Buy).