The all-cash merger transaction is valued at approximately $29 million, and was approved by 63.16% of ADFITECH’s stockholders by written consent on March 9, 2022. Under terms of the deal, holders of ADFITECH's common stock will receive $3.717451 per share in cash with the aggregate amount rounded to the nearest whole cent.
"We are pleased to join forces with Mortgage Connect, an organization with a solid reputation for customer service within the mortgage services industry,” said Tom Apel, CEO of ADFITECH. “We appreciate the support of our valued customers, and the talented ADFITECH employees and management as we continue to work together to provide the highest quality outsourced mortgage quality control, due diligence and mortgage fulfillment services in the future."
In existence for more than 40 years, ADFITECH is a provider of quality control, due diligence, fulfillment, and document management services to the mortgage industry. Mortgage Connect provides mortgage origination, servicing, and capital market solutions, serving nine of the nation’s top 10 lenders, and 17 of the top 20 servicers, in addition to institutional investors. The partnership will provide significant benefits to customers by offering life-of-loan services, enhanced service levels, and tech solutions allowing for digitalization of virtually every touch point.
Jeff Coury, CEO of Mortgage Connect and Ernst & Young (EY) Entrepreneur of the Year 2021 East Central Region Award winner, said, “After a significant amount of time spent looking for the perfect partner, the best choice was ADFITECH, a company with a history of strong leadership and one that shares the same standards of innovation and of creating the best possible customer experience. The purchase was not only a natural cultural fit, but also delivers a breadth of products and services that is unmatched in the industry.”