The Federal Housing Finance Agency, acting as conservator of Fannie Mae and Freddie Mac, allowed both enterprises to approve Rocket Companies’ proposed acquisition of Mr. Cooper Group, subject to conditions intended to preserve the enterprises’ safety and soundness. A supervisory review assessed the merger of two of the enterprises’ largest individual seller-servicer counterparties and supported permitting the combined entity to continue doing business with them, provided Fannie Mae and Freddie Mac each maintain counterparty concentration risk limits of 20% and apply additional financial and operational safeguards. The agency stated that no market participant should have more than 20% of either enterprise’s servicing market.