Wachtell, Kirkland steer loan servicer Mr. Cooper's IP deal with fintech

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The logo for the Wachtell, Lipton, Rosen & Katz law firm at their office in New York, U.S., June 7, 2017. REUTERS/Shannon Stapleton

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  • Wachtell guides Mr. Cooper, while Kirkland counsels fintech Sagent
  • Deal adds to Kirkland's recent fintech M&A work

Feb 11 (Reuters) - Wachtell, Lipton, Rosen & Katz is advising Mr. Cooper Group Inc, a large U.S. home loan servicer, on the sale of IP rights for its mortgage servicing technology platform to fintech software company Sagent M&C, which was represented by Kirkland & Ellis.

Mr. Cooper and Sagent, which is backed by private equity firm Warburg Pincus, said in a joint statement Friday that in exchange for the rights, Mr. Cooper will receive a minority stake in Sagent.

The companies said that under the deal terms, Sagent will also create a cloud-based mortgage servicing platform that will be offered to banks and independent mortgage companies.

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Wachtell corporate partners David Shapiro and Mark Veblen are working with Dallas-headquartered Mr. Cooper. They're joined by antitrust partner Damian Didden, executive compensation and benefits partner David Kahan and tax partner Joshua Holmes.

Sagent has turned to a Kirkland team led by corporate partner Keri Schick Norton. M&A partner Jai Agrawal, and technology & IP transactions partners Adam Petravicius and Jeffrey Seroogy also pitched in for Kirkland.

Kirkland has done several large M&A deals in fintech recently.

The firm is counseling payments technology platform Corcentric on its $1.2 billion merger with a special purpose acquisition company, the firm said in a December 2021 statement.

SPACs raise money through initial public offerings and then merge with private companies to take them public.

In the same month, private equity firm Thoma Bravo said Kirkland was guiding its $2.6 billion acquisition of business payments-focused Bottomline Technologies.

Read more:

Software firm Corcentric to go public via $1.2 bln SPAC deal

Thoma Bravo to take fintech Bottomline private for $2.6 bln

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Sierra Jackson reports on legal matters in major mergers and acquisitions, including deal work, litigation and regulatory changes.