First American Announces Completion of ServiceMac Acquisition

Rhea-AI Summary

First American Financial Corporation (NYSE: FAF) has completed its acquisition of ServiceMac, LLC, enhancing its capabilities in mortgage subservicing. This strategic move aims to support the entire mortgage life cycle, improve product innovation, and expand First American's existing services. ServiceMac is recognized for its data-driven technology and customer satisfaction. The acquisition allows First American to leverage enhanced access to property data and develop new products, further solidifying its position in the mortgage finance ecosystem.

Positive

• Acquisition enhances First American's mortgage servicing capabilities.
• ServiceMac's innovative technology improves customer satisfaction and retention.
• The deal allows access to advanced property data and mortgage solutions.

Negative

• None.

—Purchase uniquely positions the companies to support the entire mortgage life cycle, while enhancing product innovation efforts—

SANTA ANA, Calif.--(BUSINESS WIRE)-- First American Financial Corporation (NYSE: FAF), a leading global provider of title insurance, settlement services and risk solutions for real estate transactions, announced today the completion of First American’s acquisition of ServiceMac, LLC, an innovative mortgage subservicing company.

ServiceMac is one of the nation’s leading independent subservicers, providing lenders, investors and other mortgage servicers customized solutions that enhance security, customer satisfaction, retention capabilities and profitability. Founded in 2017, ServiceMac offers clients innovative, data-driven technology and delivers quality results and immediate loan-level transparency to their accounts.

“We are pleased to welcome ServiceMac to the First American family,” said Dennis J. Gilmore, chief executive officer at First American Financial Corporation. “ServiceMac’s rapid growth, innovative technology and business leadership align well with our ongoing commitment to support the mortgage industry and further expand our product innovation efforts.”

ServiceMac’s mortgage subservicing business complements First American’s existing capabilities and will enhance First American’s ability to provide lenders and servicers with end-to-end mortgage, settlement, post-closing services and servicing-related products and solutions. ServiceMac will have enhanced access to First American’s industry-leading property and homeownership data and mortgage solutions products, further advancing the company’s ability to add value to its existing services and develop new products and services.

ServiceMac’s management team, including President and CEO Bob Caruso, will continue to lead the company, which will now operate as a wholly-owned subsidiary of First American.

“Joining First American further enhances our position as a counterparty in the mortgage finance ecosystem and allows us to work together to develop new products and services to support our industry,” said Caruso. “Equally important, our employees will benefit from becoming part of a company named to the Fortune 100 Best Companies to Work For^® list six years in a row.”

About First American

First American Financial Corporation (NYSE: FAF) is a leading provider of title insurance, settlement services and risk solutions for real estate transactions that traces its heritage back to 1889. First American also provides title plant management services; title and other real property records and images; valuation products and services; home warranty products; banking, trust and wealth management services; and other related products and services. With total revenue of $7.1 billion in 2020, the company offers its products and services directly and through its agents throughout the United States and abroad. In 2021, First American was named to the Fortune 100 Best Companies to Work For^® list for the sixth consecutive year. More information about the company can be found at www.firstam.com.

About ServiceMac, LLC

ServiceMac, LLC, a member of the First American family of companies, is focused on providing superior technology, products and services for the mortgage industry backed by highly customized service and support. The innovative mortgage subservicing company offers lenders, investors and other mortgage servicers customized solutions that span the mortgage continuum and enhance security, customer satisfaction and profitability. More information can be found at www.servicemacusa.com.

Forward-Looking Statements

Certain statements made herein constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts and may contain the words “believe,” “anticipate,” “expect,” “intend,” “plan,” “predict,” “estimate,” “project,” “will be,” “will continue,” “will likely result,” or other similar words and phrases or future or conditional verbs such as “will,” “may,” “might,” “should,” “would,” or “could.”

These forward-looking statements include, without limitation, statements regarding anticipated benefits from the transaction. These forward-looking statements are based on current expectations and assumptions that may prove to be incorrect. Risks and uncertainties exist that may cause results to differ materially from those set forth in these forward-looking statements. Factors that could cause the anticipated results to differ from those described in the forward-looking statements include, without limitation, regulatory-, technology- or business-related challenges.

These forward-looking statements speak only as of the date they are made. First American does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211025005136/en/

Media Contact:

Marcus Ginnaty

Corporate Communications

First American Financial Corporation

(714) 250-3298

Investor Contact:

Craig Barberio

Investor Relations

First American Financial Corporation

(714) 250-5214

Source: First American Financial Corporation

FAQ

What is the purpose of First American's acquisition of ServiceMac?

The acquisition aims to enhance First American's mortgage servicing capabilities and product innovation efforts.

How does the ServiceMac acquisition impact First American's business?

The acquisition complements First American's existing services and expands its ability to provide end-to-end mortgage solutions.

When was the acquisition of ServiceMac by First American completed?

The acquisition was announced on October 25, 2021.

What benefits does ServiceMac bring to First American Financial Corporation?

ServiceMac offers data-driven technology and customized solutions that improve security, customer satisfaction, and profitability.

What is the stock symbol for First American Financial Corporation?

The stock symbol for First American Financial Corporation is FAF.