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Wells Fargo Sells Non-Agency CRE Loan Servicing to Trimont
Wells Fargo said Tuesday it had agreed to sell the non-agency third-party servicing segment of its commercial mortgage servicing (CMS) business to Trimont. Terms of the transaction and the size of the segment were not disclosed. Atlanta-based Trimont said the deal will make it the largest commercial real estate loan servicer in the U.S., with a loan portfolio of $640 billion.
“Trimont and Wells Fargo’s Commercial Mortgage Servicing are recognized experts in their respective areas of concentration,” said Bill Sexton, CEO of Trimont. “The businesses are highly complementary and combining them allows Trimont to provide a unique and comprehensive service offering to the increasingly sophisticated CRE lending market.”
At Wells Fargo, EVP Kara McShane, head of Wells Fargo Commercial Real Estate, said, “This transaction is consistent with Wells Fargo’s strategy of focusing on businesses that are core to our consumer and corporate clients. We remain committed to our market-leading Commercial Real Estate business, and we will continue to serve our clients with a broad suite of lending, advisory and capital markets capabilities while leveraging our franchise to grow our Corporate and Investment Bank.”
Funding for the transaction will be provided by Värde Partners, a global alternative investment firm, which has owned Trimont through certain funds since 2015.
Wells Fargo Securities, LLC served as exclusive financial advisor to Wells Fargo and Wachtell, Lipton, Rosen and Katz served as legal advisor to Wells Fargo. For Trimont and Värde, J.P. Morgan Securities served as financial advisor with Goldman Sachs providing additional advisory services, while Kirkland & Ellis, Cadwalader, Wickersham & Taft LLP, and Trilegal served as legal advisors.
The transaction is expected to close in early 2025, subject to customary closing conditions. Wells Fargo will continue servicing agency/GSE loans and loans held on its balance sheet.
- ◦Sale/Acquisition
