JENKS, Okla., August 8, 2018 – The Stitt Family Trusts, which collectively own 100% of Gateway Mortgage Group, a full-service mortgage company licensed in 41 states and the District of Columbia, announced the signing of a definitive stock purchase agreement to acquire more than 85% of the stock of Cherokee, Oklahoma-based Farmers Exchange Bank. Following the acquisition, the Stitt Family Trusts plan to merge Gateway Mortgage Group into Farmers Exchange, which will support the long-term growth of both institutions, as well as diversify the financial services offered to both mortgage and bank customers. Closing of the acquisition is subject to regulatory approval and certain other customary closing conditions.
Following the closing of the acquisition, the bank will be one of the top five in Oklahoma by employment and net income. The acquisition will allow the resulting bank to offer clients a broader range of products while lowering costs for financial services. The resulting bank’s business model will build upon the success of Gateway Mortgage Group, which has become one of the largest privately held mortgage companies in the country.
“We believe this acquisition is an important next step for Gateway Mortgage Group that will allow for growth, providing greater opportunity for employees and the communities they serve,” said Stephen Curry, Gateway Mortgage Group’s newly appointed CEO. “Through this acquisition, both Farmers Exchange Bank and Gateway Mortgage Group can expect to gain improved products and technology that will enhance their ability to strengthen the families in their communities. We’re excited about this new venture and the benefits it will provide to our customers.”
“Gateway Mortgage Group has always maintained a strategic eye on growth in Oklahoma, and we are proud of the great culture and workplace that we’ve been known and recognized for,” said Kevin Stitt, founder of Gateway Mortgage Group. “We are excited to extend a warm welcome to the new team members, their families, and the customers of Farmers Exchange. Our company was built on the foundation of a set of core values that drive us every day to continue expanding development opportunities for our communities and the team members that work here while we support the financial needs of our customers across the country.”
Following the merger, Donald Powell, former Chairman of the FDIC under President Bush, plans to join the resulting bank’s Board of Directors.
Shapiro Bieging Barber Otteson, LLP served as outside legal counsel to the Stitt Family Trusts and Gateway Mortgage Group. Fenimore, Kay, Harrison & Ford, LLP served as outside legal counsel to Farmers Exchange Bank.
Gateway is one of the largest privately held mortgage origination and servicing companies in the United States. Founded in 2000 and headquartered in Jenks, Oklahoma, the company employs more than 1,200 team members in over 160 offices nationwide and currently services $17 billion in residential mortgages. For more information about Gateway, visit www.GatewayLoan.com. Gateway Mortgage Group, LLC (NMLS 7233).