Hildene Capital Forms Strategic Relationship with CrossCountry Mortgage for Non-QM Investments  

 Multi-Year Agreement Offers Hildene Access to CrossCountry Mortgage’s Scalable Volume of Non-QM Loans  

CrossCountry Capital to Invest in a Hildene-managed Account to Create Economically-Aligned Partnership

STAMFORD, Conn.–(BUSINESS WIRE)–Hildene Capital Management, LLC (“Hildene”), a $12 billion credit-focused asset manager, today announced that it has entered into a strategic relationship with CrossCountry Mortgage (“CCM”), one of the largest retail residential mortgage originators in the U.S., and CrossCountry Capital, LLC (“CCC”), a company focused on housing-related principal investments. Under the terms of a multi-year agreement, Hildene will gain exclusive access to certain non-qualified mortgage (“Non-QM”) originations from the CCM platform, while CCC representatives will commit to invest in an account managed by Hildene. Terms of the transaction were not disclosed.

Founded in 2003 by CEO Ronald Leonhard Jr., CCM is well-recognized as a top U.S. residential mortgage originator – having closed over $50 billion of transactions in 2021 – with a diversified product suite, market-leading retail channel infrastructure, and a deep bench of over 8,000 employees across more than 700 retail locations in all 50 states. The relationship between Hildene and CrossCountry provides Hildene direct access to scalable, high credit quality Non-QM loans, and the parties the opportunity to work together to seek to securitize Non-QM loans on a programmatic basis.

Brett Jefferson, Founder and Co-Chief Investment Officer of Hildene, said, “CrossCountry Mortgage has cemented its position as a leading U.S. mortgage originator with an exceptional team of loan experts, national retail footprint and impressive track record of purchase loan origination. We are excited to partner with the company at a time of significant growth and increased market dislocation, which will allow Hildene the ability to generate sound credit investments at historically high interest rates.”

Ron Leonhardt, Founder and Chief Executive Officer at CCM, added, “We are pleased to enter into this partnership with Hildene, which will allow us to grow our Non-QM originations and further capitalize on the current market environment. We pride ourselves in the trusted brand that we have built over the last two decades, and look forward to continuing to support homebuyers and homeowners with exceptional service, products, insights, and transparency.”

Dushyant Mehra, Co-Chief Investment Officer and Portfolio Manager of Hildene, commented, “This strategic relationship grants Hildene an attractive entry point into the Non-QM market as well as an opportunity to further strengthen the depth and breadth of our investment pipeline. With traditional lenders pulling back from the market, we believe CCM’s origination platform is both complementary and accretive to Hildene’s investment philosophy as we seek to execute on unique risk-adjusted, value-generating investment opportunities for our clients.”

Steven Ujvary, Managing Partner at CCC, concluded, “Our partnership with Hildene is a testament to the high conviction we have in the Non-QM investment strategy. We look forward to working with Brett, Dushyant, and the Hildene team to source and securitize attractive residential mortgage investments together in the years ahead.”

About Hildene Capital Management

Founded in 2008, Hildene Capital Management, LLC is a diversified institutional asset manager specializing in asset-based and credit opportunities. Hildene Co-CIOs Brett Jefferson and Dushyant Mehra are backed by a senior investment team with a long and established track record of investing across various credit and distressed cycles, leveraging their expertise in managing complex assets. Today, Hildene manages over $12 billion for a broad range of clients across its flagship private funds, tailored managed accounts and securitized asset structures. For additional information, please visit: https://www.hildenecap.com/.

About CrossCountry Mortgage

CrossCountry Mortgage is one of the nation’s largest retail mortgage lenders, with more than 8,000 employees operating over 700 branches across all 50 states. The company offers more than 100 mortgage, refinance and home equity solutions – ranging from conventional and jumbo mortgages to government-insured programs for Veterans and rural homebuyers – and is a direct lender and approved seller and servicer by Freddie Mac, Fannie Mae and Ginnie Mae. The company has been recognized nine times on the Inc. 5000 list of America’s fastest growing private businesses and has received many awards for its standout culture. Through its dedication to getting it done, CCM makes every mortgage feel like a win. For additional information, please visit https://ccm.com/.

About CrossCountry Capital

CrossCountry Capital is an asset management and services firm focused on the residential housing sector, with a team that has built and scaled some of the largest residential mortgage and securitization platforms over the last decade. CCC sources mortgage-related investments throughout the broader residential housing ecosystem, co-invests in assets it sources, and provides securitization and loan management support to its strategic partners.

Contacts

Media

Amanda Shpiner/Justin Dechiario

Gasthalter & Co.

(212) 257-4170

hildene-capital@gasthalter.com