COOP - Mr. Cooper to sell reverse servicing portfolio to Mortgage Assets Management

Chainarong Prasertthai/iStock via Getty ImagesIn a move to focus its business on its core origination and servicing businesses, Mr. Cooper Group (COOP) agrees to sell its reverse servicing portfolio, operating under the Champion Mortgage brand, to Mortgage Assets Management.Upon the close of the sale, which is subject to regulatory approvals and other closing conditions and is expected prior to year end, MAM and its affiliates will assume Champion's reverse portfolio related operations.The transaction will shrink Mr. Cooper's servicing portfolio by ~$16B in unpaid principal balance and reduces its balance sheet by ~$5B in HECM and other assets.Chris Marshall, vice chairman, president and CFO says, "Champion Mortgage has been a profitable operation for Mr. Cooper, but it is not a material driver of our business. This transaction strengthens our business model, simplifies our financial statements, and allows us to reallocate liquidity into core operations."Terms of the transaction have not been disclosed, however,

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Mr. Cooper to sell reverse servicing portfolio to Mortgage Assets Management