Transaction creates the "industry's first cloud-native, homeowner-first servicing platform"
Mr. Cooper Group has completed its previously announced agreement with Sagent Lending Technologies to build the “industry’s first cloud-native, homeowner-first servicing platform.”
First announced in February, the multi-year deal saw Sagent purchase certain intellectual property rights of Mr. Cooper’s proprietary mortgage servicing platform. In return, Mr. Cooper has received an equity stake in the Warburg Pincus-backed fintech software company and appointed two directors to Sagent’s board.
Read more: Mr. Cooper strikes deal with Sagent
According to a release, Sagent will turn Mr. Cooper’s platform into a cloud-based servicing platform, which Sagent will start marketing to other banks and mortgage companies in 2023.
“We believe Sagent’s shared vision, technology, and scale execution will help drive Mr. Cooper’s strategic growth by giving us the opportunity to bring our combined best-in-class servicing platforms to the industry, ultimately accelerating the future of mortgage servicing software and providing innovative solutions to mortgage servicers and their customers,” said Jay Bray, chairman and CEO of Mr. Cooper Group. “This agreement also provides us with meaningful efficiencies and allows us to accelerate our development of customer-facing applications that will delight our customers with personalized, friction-free solutions.”
“America’s mortgage servicers must be powered by nimble technology to be heroes to borrowers, stalwarts to investors and stewards of consumer protection to regulators,” said Andrew Bon Salle, Sagent board member and former head of Fannie Mae’s Single-Family Business. “I believe Mr. Cooper and Sagent are leading this charge in today’s market.”
“Partnering with Mr. Cooper not only adds a top mortgage servicer with more than three million loans as a seven-year Sagent customer; it also lets Sagent innovate faster than ever for all Sagent customers to deliver the simplicity homeowners expect without compromising on depth servicers require,” added Sagent CEO and president Dan Sogorka. “Sagent and Mr. Cooper share a vision of powering borrowers to manage their entire home and loan lifecycle from their mobile devices and powering servicers to manage every single loan detail for consumers, regulators, investors, and partners. This shared vision will lead our entire industry into the future.”
