The combined company will now hold an estimated 10% share of the UK’s remortgage processing market.
The transaction comes only 15 months after enact was bought by its senior management from Addleshaw Goddard. It has focussed on the high volume mortgage processing market and this acquisition is an acknowledgement of the achievement made by the management team since launch.
Commenting on this acquisition, David Thorpe, Chief Executive Officer of First Title said “Over the past 12 months, First Title has processed in excess of 100,000 remortgages. This acquisition supports our aggressive growth strategy as we are doubling our processing capability and as a result, becoming the market leader in the provision of such services to the lending industry. We have retained the enact management team to build on their initial success”.
Richard Dinning, Chairman and Chief Executive of enact, added: “This is a tremendously exciting development for enact and a significant achievement for its management team less than half-way through our inaugural, three-year business plan.
To have the financial strength of a global business dedicated to the lending and property sector, we will be able to grow and develop at a faster pace than previously envisaged. With such a strong strategic fit, the management team had no hesitation in committing to long term delivery contracts.”
The timing of the acquisition is also appropriate with the expected introduction of Home Information Packs, aimed at making the house buying process more efficient, leading to increased demand for title insurance products.
The companies will continue to operate under their existing names and structure with Richard Dinning (currently chairman of the PISCES Residential Working Group and a member of the Cabinet Office e-Group working party on the housing finance sector), joining the board of First Title.
