PE Deals

Ontario Teachers’ completes purchase of HomeQ from Birch Hill

The purchase was made from Birch Hill Equity Partners Management and the other minority shareholders of HomeQ, the parent company of HomeEquity Bank.

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  • Birch Hill took HomeQ private in 2012 for $105.4 million
  • The Ontario Teachers’ deal was first announced in September 2021
  • HomeEquity Bank is best known for its CHIP reverse mortgage 

Ontario Teachers’ Pension Plans has completed the purchase of HomeQ Corp from Birch Hill Equity Partners Management and the other minority shareholders of HomeQ. HomeQ Is the parent company of HomeEquity Bank. The deal was first announced in 2021 and was covered by PE Hub.

Ontario Teachers’ is a global investor with net assets of approximately $187 billion. It invests across assets classes to deliver retirement income for the 333,000 current and retired teachers in Ontario.

“We look forward to supporting HomeEquity Bank’s growth and believe in its incredible potential,” says Jeff Markusson, senior managing director, financial services, private capital at Ontario Teachers’. “They have impressive growth prospects, a compelling value proposition, a high-quality management team and share our vision of enhancing the lives of retired Canadians.”

HomeEquity Bank is a Canadian bank known for offering reverse mortgage solutions. The value of HomeEquity’s total reverse mortgage portfolio under management is $5.7 billion. It had more than $1 billion in reverse mortgage originations in 2021, a 28 percent increase over 2020. Birch Hill took HomeQ private in 2012 for about $105.4 million.

“We’re incredibly proud of Ontario Teachers’ confidence and investment in our business and vision,” says Steven Ranson, president and CEO of HomeEquity Bank. “We will continue working hard to serve the needs of Canadian homeowners age 55+ with innovative financial planning solutions.”