The acquisition of a mortgage banking firm that originates more than $1 billion a year is expected to expand the footprint of a bank in the Northeast.
Merrimack Mortgage Co. was founded in 1983. In addition to lending in its home state of New Hampshire, it also conducts business throughout a dozen or so other states.
The Manchester-based lender employs around 200 people at 31 sales offices in five states. Staffing has doubled since
2007.
Merrimack reports that its annual mortgage originations exceed $1 billion — with 97 percent of its business concentrated in the New England region.
On Wednesday, HarborOne Bank announced an agreement to acquire Merrimack. The mortgage company will operate as a subsidiary of the bank.
Terms of the transaction, which is expected to complete in July, weren’t disclosed.
Brockton, Massachusetts-based HarborOne noted in the announcement that the deal will significantly increase the size of its mortgage business. In addition, the acquisition will give the $2 billion financial institution a foothold in key New England markets.
The owners of Merrimack, Dan McKenney and Timothy Boyle, will respectively serve as president and chief executive officer of the subsidiary.
“Our company cultures are very similar with regard to business operations, customer service, employee experience and corporate citizenship,” McKenney said in the news release. “We believe the entire Merrimack team will be an important asset as HarborOne expands its presence in the New England mortgage lending market.”
