Abington Bancorp is reentering the mortgage business with the purchase of a mortgage banking company run by two former senior executives of Bank Boston Corp.
Abington, a $591 million-asset company based in Abington, Mass., will buy Old Colony Mortgage of Brockton, Mass.
Old Colony's president, Peter Radigan, was president and chief executive of Banc Boston Mortgage. Its executive vice president was the Bank Boston unit's senior vice president for operations.
In 1996, when Bank Boston formed a joint-venture mortgage company in Florida, HomeSide Lending Inc., the two men left and founded Old Colony.
Abington left the mortgage business the same year, preferring to focus on core banking operations, said a spokesman, Robert Lallo.
But James McDonough, Abington's president, said the addition now of Old Colony would provide "another source of noninterest income and gives us even greater sales opportunities."
Old Colony originated $125 million of mortgages last year.