(WXYZ) — United Wholesale Mortgage announced plans to go public after merging with Gores Holdings IV Inc. in what will be a special purpose acquisition company (SPAC) by an affiliate of The Gores Group.
According to United Wholesale Mortgage, the combined company will operate under the United name and be listed on the NASDAQ under the ticker symbol "UWMC."
The company said the new deal gives them a valuation of more than $16 billion.
Pontiac-based United Shore is the largest wholesale mortgage originator in the U.S. The news comes more than a month after Quicken Loans went public under the name Rocket Companies.
Mat Ishbia, President and Chief Executive Officer of UWM, said, “Becoming a public company will enable us to advance our strategy and capitalize on new opportunities to expand our already established leadership in the mortgage industry under our unique family culture, which has been the cornerstone of our Company’s success for the last 34 years," UWM President & CEO Mat Ishbia said in a release.
Alec Gores, Chairman and Chief Executive Officer of The Gores Group, stated, “We are pleased to partner with UWM in this milestone transaction. Mat and his team have built an impressive organization that is the market leader in wholesale lending and has a strong focus on culture and delivering quality service and offerings for its customers," The Gores Group CEO and Chair Alec Gores added.
According to a release, the current owners of UWM will retain around 94% ownership of the combined company and the existing management team will lead the business.
The deal is expected to close in the fourth quarter of 2020.