Altisource Portfolio Solutions, which opened its Altisource Labs office in Boston recently, announced that it has acquired real estate software company Equator for $70 million.
Altisource, a marketplace and transaction solutions provider for the real estate, mortgage, and consumer debt industries, is based in Luxembourg. The company opened its Boston office as an engineering lab/incubator in order to create more innovative software solutions, particularly in the financial tech sector.
The acquisition of Equator was spearheaded by Altisource Labs and brings Equator’s mortgage and real estate software services into the fold with Altisource’s new “Spend & Supply” platform. Equator’s software enables clients to coordinate activities associated with the management of mortgages, as well as the multiple stages of real estate transactions, all through a single product.
Altisource’s CEO, William B. Shepro, said in a press release to announce the deal that, “The acquisition of Equator will strengthen Altisource’s leading position in the real estate and mortgage industries. The acquisition expands our marquee client list and provides our customers with one of the most comprehensive real estate lifecycle management platforms and services marketplaces available.”
“The Equator brand and management team are an essential part of the acquisition,” Shepro added. “Equator will join the Altisource family of businesses and operate within our Technology Services segment. Together, we will continue to develop innovative process management and vendor solutions across the real estate and mortgage marketplaces.”
In a recent conversation, Mark Hynes, the President of Technology Services at Altisource Labs, explained why Altisource chose Boston to be the "hub" for its innovation labs network. The Fort Point Channel office, which opened in May, was the perfect location because of Boston's "rich talent and enterprise software analytics," Hynes said.
He added, "When it came to building high scale, high transaction, next generation business process management enterprise software, Boston was the only place for us."
As far as the recent news of Altisource's addition of Equator to its portfolio, Hynes said, "The acquisition of Equator accelerates our mission to become a leading lifecycle management provider and marketplace to the real estate and mortgage sector."
What's next for Altisource in Boston? As Hynes said, "We have the objective of being one of the premier technology employers in Boston."
Dennis Keohane is a staff writer for VentureFizz. You can follow Dennis on Twitter (@DBKeohane) by clicking here.