Specialist Mortgage Services (SMS), a subsidiary of mortgage administration company HML, has agreed to purchase Topaz Finance Limited (Topaz) from the Royal Bank of Scotland (RBS) for an undisclosed sum, subject to regulatory approval.
Topaz is the master servicer for approximately £700 million of residential mortgages held in the Uropa Series I and Series II securitisations. SMS is a specialist manager of mortgage portfolios, managing legal title and applying its advanced analytics and mortgage expertise to enhance the performance of mortgage portfolios on behalf of the beneficial owners of those assets.
Andrew Freeley, managing director of SMS, said: “With the recent improvements in the economy, momentum for trading mortgage portfolios is building quickly. Our clients are increasingly looking for a strategic partner who specialises in managing mortgage portfolios to support their acquisition and disposal strategies, to enhance the value of their mortgage assets and to provide the rigour and quality required to manage customers and regulatory risk effectively.
“The acquisition of Topaz supports our strategy, giving us further scale and enhanced capability in mortgage portfolio management. With HML being the clear market leader in mortgage servicing, the ability to deliver the most advanced end-to-end mortgage management solution in the market sets us apart from our competitors.”
The acquisition of Topaz by SMS and the development of SMS’s scale and capability in mortgage portfolio management is also a key facet of the Computershare strategy for HML since its acquisition of HML last year.
Andrew Jones, chief executive officer of HML, said: “The commitment by Computershare to grow the loan servicing business is significant and the acquisition by SMS of Topaz is an important part of this strategy.
“The growth of SMS is integral to both Computershare and HML’s strategy for 2015 and beyond. We have already benefited from working with our new parent’s US mortgage administration company, Specialized Loan Servicing, to share our knowledge and expertise. Further investment into our market-leading advanced analytics and technology will enable us to continue our growth plans, meeting the needs of clients globally.”