Key facts
- Carrington Mortgage Services has completed its acquisition of Valon Mortgage.
- The deal adds approximately 810,000 loans to Carrington's servicing portfolio.
- Carrington will adopt Valon's AI-native servicing technology, ValonOS, as its core platform.
- The combined servicing portfolio is projected to reach nearly 2 million loans.
- Valon Technologies will shift its focus to developing and scaling ValonOS for the wider industry.
Carrington Mortgage Services announced Tuesday the completion of its acquisition of Valon Mortgage from Valon Technologies. This strategic move integrates approximately 810,000 loans into Carrington's servicing portfolio and incorporates Valon's artificial intelligence-native servicing technology, ValonOS, which will become Carrington's core servicing platform.
The acquisition, initially announced in May, combines Carrington's expertise in government mortgage servicing with ValonOS's advanced technology. The combined servicing portfolio is anticipated to approach 2 million loans, enhancing Carrington's capabilities through Valon Mortgage's existing subservicing relationships and asset acquisition operations.
Andrew Taffet, CEO of The Carrington Companies, stated that the acquisition is a significant step in Carrington's growth strategy, expressing confidence in ValonOS's ability to handle complex servicing needs and provide improved efficiency for borrowers, investors, and government agencies.
Founded in 2019, Valon Mortgage rapidly grew to service a substantial number of loans. Following the sale of its mortgage servicing division, Valon Technologies will concentrate on developing and expanding ValonOS for the broader industry. Andrew Wang, CEO of Valon, noted that this transaction allows Valon to focus on building the technology infrastructure for the servicing ecosystem.
Carrington, established in 2007, has a history of consistent growth and aims to leverage this acquisition to strengthen its servicing platform and client relationships. The deal follows Carrington's recent acquisition of Reliance First Capital.