Stonegate Mortgage Raises $180.6 Million Through IPO

0

Stonegate Mortgage Raises $180.6 Million Through IPO Indianapolis-based Stonegate Mortgage Corp. reportedly raised about $180.6 million through its initial public offering on the New York Stock Exchange on Thursday.

Fast-growing Stonegate saw revenue grow from $15.5 million in 2010 to $95.5 million in 2012. The company does business in more than 30 states, up from 20 at the end of 2011, and plans to expand to the 48 continental states by the end of this year.

In May, Stonegate raised $115 million by selling shares in a private offering of its common stock. FBR Capital Markets & Co. acted as the sole initial purchaser and placement agent. In the transaction, Stonegate sold a total of 6.4 million shares at an offering price of $18 per share. The total net proceeds were approximately $106.8 million.

At the time, the firm said it would use the funds to fuel originations of jumbo loans and to build its portfolio of servicing contracts. In addition, it was to use about $10 million to pay off debt.

The firm also received a $30 million infusion of capital from New York-based private investment firm Long Ridge Equity Partners in March 2012.

In September, Stonegate purchased warehouse lender NattyMac, which enabled it to offer more products and services to its commercial customers. The result is that independent mortgage bankers dealing with Stonegate now have access to warehouse financing and liquidity for their agency loans.

Last year, Stonegate opened a new 16,000-square-foot regional operations center in Overland Park, Kan., to handle growing volume.

Subscribe
Notify of
guest
0 Comments
newest
oldest most voted
Inline Feedbacks
View all comments