"We are pleased to announce this strategic acquisition that will add scale to our operating platform and expand our origination capability for single family residential mortgages," said William Jandrisits, MCAN's President and Chief Executive Officer. "We expect the addition of Xceed's CMHC origination and underwriting capabilities combined with MCAN's existing operations and superior access to capital will contribute to long-term, sustainable earnings. In addition, the acquisition of Xceed will allow MCAN to work more closely with MCAP Commercial LP to further lever MCAN's single family residential operations. MCAP is currently the sub-servicer of Xceed's mortgages."Michael Misener, MCAN's Vice President and Chief Investment Officer, commented: "We are pleased to welcome Xceed's team of experienced underwriting professionals who will work with us through all phases of the origination, funding and portfolio management of the single family mortgage business." Xceed is an attractive acquisition target as it has wound down its securitization vehicles in recent years, decreasing its exposure to capital markets. MCAN expects the acquisition to benefit the Company in the following key ways:
- Xceed's origination and underwriting infrastructure and technology will provide support to MCAN's existing growth plans.
- Xceed's database management and reporting capabilities will enhance MCAN's portfolio management.
- The acquisition of Xceed's CMHC approved lender status (subject to regulatory approval) will provide MCAN with the opportunity to expand the scope of its operations.