MCAN Mortgage Corp. says its CEO and president has left the company.
The Toronto-based mortgage investment corporation, with assets of $4.7 billion at the end of 2023, did not say why Donald Coulter departed. He joined the company in late 2023.
Derek Sutherland, current chair of MCAN and a director since 2017, has been appointed interim chief executive until a permanent successor is appointed. Sutherland has held various roles at the company and was interim CEO for a period in 2023.
Gaelen Morphet has been appointed lead director to ensure independent governance at the board while Sutherland is the interim CEO, MCAN said.
MCAN Financial generates income by investing in a diversified portfolio of Canadian mortgages, including residential, residential construction, non-residential construction and commercial loans. It also invests in other types of securities, loans and real estate.
MCAN Home Mortgage Corp. is a wholly-owned subsidiary and an originator of residential mortgage products across Canada. The company has 14% ownership in MCAP, Canada's largest independent mortgage finance company.
Zachary Weisbrod, an analyst with Canaccord Genuity, said his outlook on the company is unchanged despite the change at the top.
"The interim CEO, Derek Sutherland, is more than capable of leading the company while the search for a new CEO is underway," Weisbrod concluded in a report.
"We believe that Sutherland has a high degree of familiarity with MCAN's business and is the appropriate person to lead the company until a permanent CEO is appointed," Weisbrod said. "We note that during his brief tenure as Interim CEO in 2023, the company generated strong operational and financial performance. Additionally, we note that Mr. Sutherland is one of the largest shareholders and owns approximately 2% of shares outstanding, which promotes alignment with shareholders."