Ellington Financial’s acquisition of Longbridge Financial is complete, effective October 3, 2022. The firm, which already had an equity interest in Longbridge, has acquired an additional 49.6% ownership interest from Home Point Capital for $75 million. This transaction has effectively given Ellington substantially all of the equity in the reverse mortgage lender.
This transaction comes on the heels of the original announcement made in February of this year. Building on its eight-year operating history with Ellington Financial, this acquisition will allow Longbridge to continue leveraging Ellington’s data analysis and modeling capabilities, securitization and capital markets expertise, and permanent capital base.
“This purchase by Ellington allows Longbridge to continue to grow and secure its position as the leading reverse mortgage company. The company has continued its strong growth,” commented Longbridge CEO Chris Mayer.
“This is great news for our employees, customers, and our origination and servicing clients, as well as the broader reverse mortgage industry,” he added.