Rock Holdings Buys Canadian Mortgage Tech Startup Lendesk
Quicken Loans parent company Rock Holdings has taken a majority stake in Canadian fintech mortgage company Lendesk.
The merger will combine the technology of Lendesk, which helps connect mortgage brokers with leading lenders, and Quicken Loans, the largest American mortgage lender.
Lendesk will continue to operate independently under the leadership of founder and CEO Alex Conconi, according to a press release. Financial details of the investment were not disclosed.
The Startup
Lendesk launched its mortgage application network in October 2018 with the goal of simplifying the mortgage origination process in Canada. Brokers can use the Lendesk platform to submit mortgage applications, gain approval from lenders and manage all the appropriate paperwork.
Lendesk said it has focused on improving communication among brokers and lenders and making the process of mortgage origination more efficient.
The Buyer
Rock Holdings is headquartered in Detroit and is the parent company of Quicken, Rocket Homes and Rocket Loans. The company’s Rocket Mortgage technology is now utilized in 98 percent of Quicken’s home loan originations.
“In a short amount of time, the team at Lendesk has built technology to streamline communication and workflow between mortgage brokers and lenders in Canada, and established a strong network of brokers and lenders who are connected through Lendesk’s new platform,” Rock Holdings CEO Jay Farner said in a statement.
Lendesk is the second investment Rock Holdings has made in Canada in recent years. In 2017, Rock acquired OpenHouse Realty, a Toronto company specializing in home and real estate search technology.
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