Mortgage technology developer Optimal Blue acquired its largest competitor, LoanSifter, in a deal that combines the two largest standalone developers of product eligibility and pricing engines remaining in the mortgage industry.
Executives from the two companies said the transaction provides an opportunity to concentrate research and development resources and expand the quantity and type of mortgage lenders using the technology. The combined company has more than 1,500 mortgage lender clients that include mortgage brokers, small- to midsize nondepository mortgage lenders, as well as community banks, credit unions and larger depositories. The deal was finalized on Dec. 18. Financial terms were not disclosed.