Article: National Australia Bank Makes $1.2 Billion Deal for HomeSide.(National Australia Bank Ltd. acquires Homeside Inc.)

National Australia Bank is storming into the U.S. mortgage business by buying HomeSide Inc., a young and innovative company that has quickly become a force in the U.S. market.

National Australia is paying a hefty $1.23 billion to become a leading U.S. player. It already owns Michigan National Corp. and hopes to broaden HomeSide's strategy of originating loans through correspondents in markets away from its home turf.

But experts say the purchase of HomeSide, known for its efficiency as a servicer, would also provide the Melbourne-based bank with the know-how to cut its own servicing costs dramatically. About 40% of National Australia's loan volume in Australia ...

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