American Advisors Group (AAG) announced it has entered into an agreement to acquire the assets of Associated Mortgage Bankers (AMB), a New York-based mortgage lender. The acquisition of the AMB reverse platform will enable AAG to further develop its national field sales model and add to the lender's existing call center capabilities. This acquisition will be the second top 10 reverse lender AAG has rolled up this year, following the recent addition of RMUSA employees.
"We are excited to incorporate one of the strongest national field sales management teams into our business," said Reza Jahangiri, CEO and founder of American Advisors Group. "The AMB acquisition further solidifies our plan to scale our newest retail channel while leveraging the infrastructure and resources AAG has available." Jahangiri said there is a unique opportunity for a new approach to national field sales, which AAG will be incorporating into its growth plans.
AAG will retain AMB's reverse mortgage leadership team with Kevin Blakeney leading national field sales and Adam Salti on business development initiatives. The transition will take place when all necessary licensing and regulatory approvals are received and will add 85 employees to AAG, bringing the company's staff total to nearly 800.
"The AMB reverse mortgage team is looking forward to joining AAG, the leading reverse mortgage company in the country," said Kevin Blakeney, SVP of sales. "The management team, brand and company culture are a perfect fit for us. We are excited to offer something very different," Blakeney said, "and we believe our field partners will experience exceptional service and support, including access to the most recognized brand in the industry."
"We have enjoyed a longtime partnership with AAG in developing our reverse platform," said Donald Moran, president of Associated Mortgage Bankers. "I've had the great pleasure of working with the most talented team in reverse and, while hard to say goodbye, our team will be joining an innovative market leader who will set the standard well into the future."
These acquisitions follow a capital infusion from private equity firm, FFL, which closed in the second half of 2013. This recent round of capital provides significant resources to aid in AAG's growth. The company intends to utilize the capital for acquisitions and to help strengthen AAG's balance sheet in connection with its growing Ginnie Mae portfolio in 2014.