MAXEX Secures Funding To Expedite Market Acceptance

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MAXEX Secures Funding To Expedite Market Acceptance

Jul 18, 2023 | News | 0 comments

MAXEX has revealed the conclusion of a noteworthy equity investment described as “strategic,” which was spearheaded by South Street and Atlas Merchant Capital.

MAXEX, the non-agency loan trading platform, has opted not to disclose the specific financial details of the agreement. However, the company did mention that JPMorgan and Moore Asset Backed Fund, its current investors, took part in the investment. Additionally, South Street plans to provide funding to MAXEX’s mortgage clearinghouse facility, aiming to expedite the platform’s market acceptance and broaden the availability of MAXEX and South Street’s offerings.

Tom Pearce, Chairman and CEO of MAXEX, highlighted the significant operational benefits and value that our company provides as our exchange continues to grow. In the official press release, Pearce expressed that through this collaboration, we have the chance to accelerate our expansion, improve our product offerings, and expand our network.

Jim Tabacchi, President and CEO of South Street, emphasized the significance of recent market volatility, highlighting the necessity for a fundamental transformation in the secondary mortgage market. Lenders and investors faced challenges in adjusting to rapidly increasing interest rates, liquidity constraints, and the requirement for agile and adaptable infrastructure. Tabacchi further noted that MAXEX broadens accessibility to various mortgage loan programs, both non-agency and agency-eligible. The collaboration enhances South Street’s offerings and reinforces its TBA pipeline hedging platform by providing clients with access to MAXEX’s loan trading exchange, thereby expanding their capabilities and opportunities

David Schamis, Chief Information Officer of Atlas Merchant Capital, commended South Street and MAXEX for their pioneering efforts in establishing modern infrastructure that plays a crucial role in mortgage trading and liquidity. He emphasized that this strategic partnership aligns with their overarching strategy of investing in and nurturing the growth of financial services companies. Atlas Merchant Capital brings to the table a long-term perspective, a collaborative approach, and extensive operational expertise, which are expected to further enhance the success of this partnership. By leveraging their collective strengths, South Street, MAXEX, and Atlas Merchant Capital aim to drive innovation and propel the evolution of the financial services industry.