Eagan-based AllRegs will be acquired for $30 million in cash in a recently announced deal.
The publicly traded Ellie Mae Inc., based in Pleasanton, California, announced the acquisition late last week; the deal is slated to close within 90 days.
Susan Chenoweth Scarth, a spokeswoman for Ellie Mae, said that AllRegs has about 80 employees and that Ellie Mae has 500 employees. She said that the company plans to retain its office in Minnesota. Contacted Monday, AllRegs President and Chief Operating Officer Jeff Hoerster declined to comment on the deal.
AllRegs describes itself as “a leading information provider for the mortgage industry.” According to the company’s website: “As the official and exclusive publisher of underwriting and loan product guidelines for Fannie, Freddie, the Federal Home Loan Bank of Chicago, Wells Fargo Home Mortgage, JPMorgan Chase, Citigroup, U.S. Bank Home Mortgage, Flagstar Bank, N.A., and many others, AllRegs is the definitive source for information.”
“AllRegs has built a strong reputation as the industry’s source for investor guidelines, compliance resources, and education,” Sig Anderman, CEO of Ellie Mae, said in a statement announcing the deal. “With the acquisition of AllRegs, Ellie Mae will expand its customer base and add a broad array of content and services that complement our portfolio of product offerings. This strategic acquisition enhances Ellie Mae’s compliance leadership and furthers our goal to be the company that powers the entire mortgage industry.”
Ellie Mae posted net profits of $12.6 million on revenue of $128.5 million for 2013, according to the company’s most recent annual filing with the U.S. Securities and Exchange Commission.