RMS to Merge with Guild Mortgage
May 13, 2021 | Reprints | Print
The Massachusetts mortgage industry is set to gain a new face when Residential Mortgage Services merges with Guild Mortgage later this year.
The two companies announced the largely-cash $197 million deal earlier this week, which will see Guild buy RMS outright via share purchases, although senior RMS leaders will see some of their shares traded in for Guild ones based on a formula that includes the average closing price of RMS sales as the closing date nears.
Current RMS shareholders will also receive a three-year earnout based on net income from RMS branch locations.