Ellie Mae, a Pleasanton, Calif.-based provider of automation solutions for the residential mortgage industry, has acquired Del Mar Datatrac Inc. Ellie Mae acquired 100% of the equity of Del Mar Datatrac, Inc., a privately held company, for $17.2 million in cash at closing, and future cash payments of $3 million, $3 million and $2 million to be paid over the next three years, respectively.
Del Mar Datatrac's operations will remain based in San Diego. Jeb Spencer, chairman of Del Mar, has joined Ellie Mae's board of directors and Rob Katz, president of Del Mar Datatrac, has been named Ellie Mae's executive vice president of product strategy.
Ellie Mae adds that its primary focus will be the integration of the acquired company's DataTrac technology into Ellie Mae's Encompass product. Ellie Mae plans to develop an Encompass point-of-sale component for DataTrac users by the end of this year, with the goal of offering a combined product by the first quarter of next year.