Radian Group Inc.
has announced the sale of its Clayton Services LLC subsidiary to Covius Holdings
, a provider of technology-enabled solutions to the financial services industry. The terms of the sale were not disclosed.
Clayton Services, acquired by Radian in 2014
as part of Clayton Holdings, provides loan acquisition, securitization for residential mortgage-backed securities, and distressed asset reviews and servicer and loan surveillance services. Radian issued a press statement saying the “sale is consistent with Radian’s strategic focus on its core mortgage and real estate businesses and reflects the repositioning of its services segment initiated in 2017.” Clayton Services’ workforce of approximately 550 employees will join the Covius team.
"The driving force behind all that we do at Radian is our focus on our core mortgage and real estate capabilities and our commitment to serving the strategic needs of our clients," said Radian Chief Executive Officer Rick Thornberry. "We continually evaluate and refine the strategic solutions that we offer across the mortgage and real estate value chain, and part of that evaluation means making adjustments when necessary. We will continue to focus on building our core mortgage and real estate products and services through a data-driven, digital transformation that has come to define our One Radian strategy."