Provident in Massachusetts buys warehouse lending business
Provident Bank in Amesbury, Mass., has entered warehouse lending after buying a business from People’s United Financial in Bridgeport, Conn.
The $1.1 billion-asset Provident said in a press release Wednesday that ResX Warehouse Lending will continue to operate out of Ponte Vedra Beach, Fla. The division offers warehouse lines ranging from $3 million to $25 million to creditworthy, small- and mid-cap independent mortgage companies.
Provident did not disclose the price it paid.
People’s United inherited RedX from its November purchase of United Financial Bancorp in Hartford, Conn.
“The expertise and leadership of the ResX team provided us an opportunity to obtain a portfolio that is immediately accretive to earnings,” David Mansfield, Provident Bank’s CEO, said in the release.
Warehouse lending “is a niche business that parallels our strategy of engaging in specialized businesses where we can have expertise and focus,” Mansfield added.