Another investment banker has acquired a subprime origination channel.
New York-based Credit Suisse will acquire Lime Financial Services, according to an announcement today. The deal, contingent on regulatory approvals, is expected to close by this summer.
"The acquisition is consistent with our plan to expand the residential mortgage securities business at Credit Suisse," said Credit Suisse executive Jim Healy in the announcement. "We have added origination capacity and servicing to the business in recent years."
Lake Oswego, Ore.-based Lime says it is an eight-year-old subprime wholesaler operating nationally with 150 account executives. It reportedly originated more than $2 billion last year.
The lender says its founders also founded Trillium Mortgage before it was acquired by First Franklin, and Meritage Mortgage before it was sold to NetBank and subsequently went defunct. Lime picked up some of Meritage's staff when it closed late last year.
Lime is headed by Chairman D. Fred Baldwin, CEO Alexander E. Hamilton and President Michael C. Baldwin.