In a high-stakes play that could reshape the mortgage lending landscape, Bayview Asset Management LLC is set to acquire Guild Holdings Company in a $1.3 billion deal that promises to supercharge innovation and scale in home financing.
The transaction, announced Wednesday, sees Bayview — advised by Simpson Thacher & Bartlett LLP — agree to purchase all outstanding shares of Guild it does not already own for $20 per share, marking a hefty 56% premium over Guild’s May 23 closing price. It’s a move akin to grabbing the steering wheel of a high-powered engine that’s already in motion.
A New Mortgage Giant in the Making
Once completed, the deal will see Guild transformed into a privately held, independent entity, operating in tandem with Bayview’s affiliate, Lakeview Loan Servicing LLC, one of the nation’s largest mortgage servicers.
“Teaming up with Lakeview forms one of the most formidable mortgage origination and servicing ecosystems in the U.S.,” said Terry Schmidt, CEO of Guild. “We bring to the table a strong balance of retail loan origination and long-term servicing, backed by a business model focused on lifetime customer relationships.”
Guild, a San Diego-based company with a legacy of relationship-driven mortgage lending, emphasized that its growth agenda remains firmly intact. The merger will serve as a launchpad for new employee opportunities and expanded customer offerings, according to the company’s statement.
