Northpointe Plans Sale of Mortgage Origination Channels to CMG
Northpointe Bancshares said it plans to sell distributed retail and consumer direct mortgage origination channels to CMG Financial under a non-binding letter of intent, with a proposed close by year-end 2026.
Northpointe Bancshares, Inc. (NPB), the holding company for Northpointe Bank, said it plans to sell its distributed retail and consumer direct mortgage origination channels to CMG Financial and its affiliates. The companies entered into a non-binding letter of intent covering the proposed transaction.
Subject to satisfactory completion of due diligence, execution of a definitive agreement and customary closing conditions, Northpointe said it anticipates the proposed transaction should close by the end of 2026.
The company said the move is a refocus on the businesses where it has the strongest competitive advantages. Chairman and Chief Executive Officer Chuck Williams said, “Given today’s economic and operating environment, and the continued evolution of the mortgage distribution channels, we are refocusing our strategic priorities where we have the strongest competitive advantages.”
Northpointe said the sale would allow it to deepen client relationships, generate attractive portfolio assets, and grow relationship-based deposits, which it expects will improve operating leverage, capital efficiency and create a more robust, stable and scalable earnings profile.
The company currently estimates restructuring charges of between $6 million and $7 million, with the majority realized during the fourth quarter of 2026. Loans currently in process will continue to be closed, and the company said it will provide support to the affected team members.
Williams said, “We believe CMG would be a strong home for our origination team and a constructive path for our customers, referral partners and team members.” He added that Northpointe remains highly committed to the mortgage banking industry and that allocating capital and resources to businesses with the strongest client relationships and balance sheet opportunities provides the best path forward for long-term growth and shareholder returns.
Further details on the timing and anticipated restructuring charges, expense savings, and potential transaction were to be provided on the company’s earnings call on October 21, 2026.