Title insurance company Fidelity National Financial has closed on its purchase of Lender Processing Services, a provider of mortgage and consumer loan processing services and technology, FNF said in a press release Thursday evening. Total compensation for LPS is $37.14 per share, consisting of $28.10 in cash and $9.04 in FNF common stock.
The purchase creates a source of new business for FNF as the market demand for bundled technology and services is growing across the mortgage industry.
The two companies, whose corporate headquarters share a Jacksonville, Fla., address, dominate their respective core areas of operation: FNF's four underwriting units collectively issue more title insurance policies than any other title company; LPS's Mortgage Servicing Package is the system of record for approximately 50% of all U.S. mortgages, as measured by dollar volume.
On Dec. 24, the Federal Trade Commission approved the deal with the caveat that six title plants in Oregon be sold.