Citizens Financial Buys Franklin American Mortgage for $511M
Citizens Financial Group Inc. has announced an agreement to acquire Franklin American Mortgage Company for $511 million.
The combined mortgage business will be led by Eric Schuppenhauer, Citizens’ President of Home Mortgage, while Scott Tansil, Chief Financial Officer and Chief Operating Officer of Franklin American Mortgage, will lead the acquired correspondent and wholesale origination businesses from Franklin American’s headquarters in Franklin, Tenn. Dan Crockett, the Owner, President and Chief Executive Officer of Franklin American, will hold an advisory role with Citizens Home Mortgage, which is based in Providence, R.I.
As of the of the first quarter, Franklin American Mortgage had approximately 900 employees and managed a $41.4 billion mortgage servicing portfolio and generated approximately $13.7 billion in annualized originations, of which nearly 100 percent was conforming, according to the company.
“This transaction takes our mortgage business to the next level, expanding our reach and adding immediate scale in servicing as well as innovative correspondent and wholesale solutions,” said Brad Conner, Citizens’ Vice Chairman and Head of Consumer Banking. “Franklin American Mortgage’s strong history of excellence in customer service is a great cultural fit with our organization and we are excited to welcome a new group of colleagues to Citizens.”
“We view this transaction as an opportunity to add scale and capital to the outstanding platform and customer-centric culture that our employees have created," said Crockett. "Citizens shares our deep and enduring focus on delivering for customers, as well as our strong commitment to colleagues and communities, which Franklin American Mortgage employees have long embraced. Together, we’ll be able to increase our positive impact on customers and grow the business platforms that are a great source of pride for us.”