Mortgage giant Mr. Cooper Group has named Mike Weinbach, a former Wells Fargo and JPMorgan Chase executive, as its new president. He will succeed Chris Marshall, who is retiring at the end of 2024 but will assist with the transition.

Weinbach, 50, will be in charge of the company’s operations, which includes originations, servicing and technology, Mr. Cooper announced on Tuesday. The effective date is Feb. 1.  

Prior to joining Mr. Cooper, Weinbach served as an advisor for MSW Advisors and McKinsey & Company. Before that, he was CEO of consumer lending and a member of the operating committee at Wells Fargo, responsible for over 40,000 team members. Previously, he served as CEO of Chase Home Lending at JPMorgan Chase, where he spent 16 years.  

Mr. Cooper’s new president will receive an annual base salary of $750,000 and a lump-sum cash signing bonus of $350,000, according to an 8-K filing with the Securities and Exchange Commission (SEC). 

The document states that he will also participate in an annual incentive plan between $1.5 million and $3 million and be eligible for a long-term incentive for the 2024 fiscal year of $4.2 million awarded in restricted stocks. Meanwhile, Weinbach will also receive a one-time award of time-based restricted stock units with a grant date fair value of $2 million to be granted in 2024.

A veteran with more than two decades in the financial services industry, Weinbach is joining a company that has managed to maintain profitability amid a shrinking mortgage market, mainly due to its robust servicing portfolio. Its financial position has helped Mr. Cooper engage in M&A activity with the acquisition of Home Point Capital for $324 million in 2023. 

Mr. Cooper’s latest earnings report showed that it delivered $275 million in net income from July to September, originating $3.8 billion in loans in the same period. On the servicing side, it had 4.3 million customers and $937 billion in UPB at the end of September. 

But Weinbach will face challenges. Mr. Cooper was the target of a cybersecurity attack in 2023. In October, it had the data of nearly 15 million current and former clients exposed in a hacking incident, which resulted in at least four class action suits

In a statement, Weinbach said he has been impressed with Mr. Cooper’s “record of growth and profitability as well as their commitment to the customer experience.” 

Jay Bray, the company’s chairman and CEO, said in a statement that Weinbach’s “extensive background in consumer lending and financial services, as well as his people-first approach, will be a great fit for our team.”

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