The Federal Deposit Insurance Corp. (FDIC) has completed the sale of IndyMac Federal Bank FSB to OneWest Bank FSB, a newly formed Pasadena, Calif.-based federal savings bank organized by IMB HoldCo LLC.
OneWest will assume all deposits of IndyMac Federal. IMB HoldCo signed a letter of intent with the FDIC on Dec.31, 2008, to purchase IndyMac Federal. FDIC and OneWest have entered into a loss-share transaction on the single family residential portfolio. Under terms of the loss-share agreement, OneWest will continue the FDIC's existing loan modification program.
OneWest, which previously acquired reverse mortgage company Financial Freedom, will operate as a regional bank, focused on deposits and conforming and jumbo mortgage lending for its retail customers in Southern California. The bank says it will explore opportunities with other institutions to leverage its experience and expertise with loan modifications.
‘We appreciate the support of the FDIC and the [Office of Thrift Supervision] in completing this transaction, and we are committed to continuing our work with the FDIC and other government agencies to implement programs to help homeowners," says Steven Mnuchin, chairman and CEO.
SOURCES: FDIC, OneWest