""PSM Holdings, Inc."":http://www.psmholdings.com/ has agreed to merge its mortgage banking arm with Brookside Mortgage, LLC, forming a new entity that the parent company will manage under a wholly owned subsidiary.
[IMAGE]""We are very fortunate to acquire such a professional, mature, and profitable organization like Brookside,"" Jeff Smith, PSM's president, said in a statement.
Smith noted that the motto of the company's mortgage banking subsidiary, PrimeSource Mortgage, Inc., is ""We Walk You Home,"" and he says this tag is ""very much in keeping with the high standards of service Brookside has offered its clients for years.""
[COLUMN_BREAK]Under the agreement, PSM Holdings will merge Oklahoma-based Brookside with United Community Mortgage Corp. (UCMC) under PrimeSource Mortgage, Inc. (PSMI).
The merger serves as the next step in a broader expansion strategy by PSM Holdings, which it began in 2010 by acquiring another Oklahoma-based mortgage banking company, CBB, Inc., and continued by acquiring UCMC in February this year, according to _CNBC_.
As another part of the deal, the principals of Brookside Mortgage, Greg Mahaney and Michael Thompson, will pocket 800,000 shares of PSM Holdings in return for Brookside's equity securities. _CNBC_ reported that PSM Holdings will also seat Mahaney as a member of its board of directors.
According to the company's statement, additional restrictions apply to the closing of the transaction. These include stipulations that preserve the material and financial condition of the entities.
""We look forward to a long and mutually profitable relationship with Brookside,"" Smith said.
PSM Holdings maintains offices in nine states. Through its wholly owned subsidiary, PSMI, the company supplies real estate businesses with banking and mortgage brokerage services in 19 states across the United States.