Capital One Financial (NYSE:COF) has made a definitive move to boost its mortgage offerings. The company announced that it has reached an agreement to buy Beech Street Capital, a company it describes as "a privately held, national originator, and servicer of Fannie Mae, Freddie Mac, and FHA multifamily commercial real estate loans." The terms of the deal were not made public.
Beech Street Capital was founded in 2009 and is headquartered in Maryland. According to Capital One, it originated roughly $4 billion in loans last year, making it the sixth-largest agency originator in America. Its loan portfolio stands at around $10 billion.
The deal is expected to close in Q4 of this year.
Fool contributor Eric Volkman and The Motley Fool have no position in Capital One. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.