Crown Mortgage Management is to be acquired by Capita Asset Services for an undisclosed sum.
Capita Asset Services is a division of Capita Plc and has 2500 employees across the UK, Jersey and Europe, currently managing £129bn of commercial real estate loans.
It says the acquisition of Crown Mortgage Management will give it increased capability in the commercial mortgage sector and an entry into the residential mortgage market.
Andrew Doyle, now managing director of Crown Mortgage Management, said: “The businesses are a perfect fit for each other. Capita offers scale and end to end solutions for loan administration for the commercial and securitisation markets, but does not have a footprint in the residential mortgage space which Crown does.
“We are joining a dynamic and fast growing business. The change represents an even stronger future for Crown with greater potential for market growth and success for the company and our employees.”
The acquisition is subject to FCA approval.
A month ago Crown Mortgage Management was granted permission to offer advice from the FCA.
Crown can now give advice to borrowers on material changes to their mortgage contracts. This includes changes to repayment methods, further advances, part or full redemptions and transfers of equity. It also enables Crown to expand the range of services it offers to its clients and their borrowers.