WELLS FARGO AGREES TO ACQUIRE ASSETS OF TOWLE FINANCIAL SERVICES/MIDWEST, INC.
SAN FRANCISCO — October 25, 2002
Continuing to grow its commercial real estate mortgage loan origination business, Wells Fargo & Company (NYSE: WFC) said today that its subsidiary, Wells Fargo Bank, N.A., has signed a definitive agreement to acquire certain commercial mortgage loan origination and servicing assets of Minneapolis-based Towle Financial Services/Midwest, Inc.
“Our acquisition of Towle Financial is more good news for our commercial mortgage customers,” said Ed Blakey, head of Wells Fargo’s Commercial Mortgage Group, “because it further expands the product choices, distribution channels and geographies available to them and enables us to make progress toward our vision of satisfying all their financial needs and helping them succeed financially.”
Towle Financial is a mortgage banking company that originates and services mortgages for life insurance companies, pension funds, real estate investment trusts, multi-family housing programs, banks, and other conduits. It underwrites and originates FHA mortgages under HUD's delegated underwriting program.
Terms of the agreement were not disclosed. The acquisition is expected to be completed in this year’s fourth quarter.
Towle principals – President and CEO Michael Meents, Mark Vannelli, Dan Mott, and Greg Hultstrand – and the 16 other employees of Towle Financial will join Wells Fargo’s Commercial Mortgage Origination Group.
Wells Fargo’s Commercial Mortgage Origination Group is one of the nation’s largest commercial mortgage originators and commercial mortgage servicers. It originates permanent loans of $1 million to $50 million on income-producing real estate across the United States and has a $30 billion servicing portfolio. In June 2001, in a similar acquisition, Wells Fargo acquired the assets of Michigan-based Bloomfield Acceptance Company, L.L.C., Bloomfield Servicing Company, L.L.C., and Hartger and Willard Mortgage Associates, Inc.
Wells Fargo & Company is a diversified financial services company with $334 billion in assets, providing banking, insurance, investments, mortgage and consumer finance from more than 5,600 stores and the Internet (wellsfargo.com) across North America and elsewhere internationally.