M3 Mortgage Group acquires Verico to create $44B-loan giant amid market slowdown
http://business.financialpost.com/pe...arket-slowdown
Quote:
Montreal-based M3 Mortgage Group, parent company of some of the most well known names in the residential mortgage sector, said Thursday it has added a major independent brokerage to its stable of companies in a move that grows its annual loan volumes from $25 billion to $44 billion.
M3 Mortgage Group, which already owns Multi-Prêts Mortgages, Mortgage Alliance, Invis and Mortgage Intelligence, said the move to buy Vancouver-based Verico Financial Group Inc. gives its 6,000-broker strong company a presence spanning coast to coast and makes it the largest, fastest growing non-bank mortgage originator across the country.
“Today’s announcement is a game changer for us. It gives us the scale and scope to truly transform the home financing space by offering a diverse range of solutions to all brokers,” said Luc Bernard, president and chief executive of M3 Mortgage Group.
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After M3 acquired my brokerage, Invis, earlier this year, they wasted little time making another acquisition. As the article states, this makes us the largest brokerage in Canada, which will give us access to better products across the board.
The broker channel has struggled to adjust since the government imposed changes over the last year or so, as it gave an unfair advantage to large banks - which has been well documented. The timing of this is perfect, as 44 billion in volume is a massive number, and can be used to negotiate with various lending institutions in the broker channel.
I was hesitant at first about the acquisition, but after meeting with upper management, I am very excited about their vision and dedication moving forward.