Walter agrees to $120M acquisition

TAMPA — Walter Investment Management Corp. announced it has entered an agreement to purchase Reverse Mortgage Solutions Inc. in a $120 million transaction.

According to a news release, the transaction will consist of $60 million in cash, $25 million in Walter's stock and a seller MSR note of $35 million. Walter estimates the transaction to equal about 2.6 times the expected EBITDA for RMS in 2012.

RMS provides reverse mortgage services, including loan origination, servicing, asset management and technology. The Spring, Texas-based company currently services $12 billion in reverse mortgages, the fourth-largest in the sector.