Counsel Corporation's acquisition of mortgage lender Street Capital is paying off.
Street originated over $1 billion in mortgages in the third quarter, generating $3.5 million in profit for its parent.
"The acquisition of Street Capital has provided a major boost to our top and bottom line," said Allan Silber, Chairman and CEO of Counsel, in this press release.
It has also provided a complete reversal of fortunes for Counsel, which says it lost $2.4 million in the same quarter last year.
Street Capital was acquired by Counsel Corporation last spring. It’s now the 7th biggest lender in the broker channel according to the latest D+H market share report.
Street may not be the most competitive rate-wise (apart from its solid 4-year fixed) but it maintains loyal broker relationships. We’ve talked to numerous brokers who swear by the service levels of Street’s underwriters.
Sidebar: For the past year, Counsel Corporation’s stock price has been stuck at an average of 72 cents a share. It’ll be interesting to see if this news can counteract the company’s heavy 52 million share float and break the stock out.
Rob McLister, CMT
