Walter Investment Management Corp. Announces Initial Funding of Walter Capital Opportunity Corp. and Excess Spread Transaction
TAMPA, Fla., July 3, 2014 /PRNewswire/ -- Walter Investment Management Corp. (NYSE: WAC) ("Walter Investment" or the "Company") announced today that it has completed its initial funding of Walter Capital Opportunity Corp. and its related subsidiaries ("WCO"). Additionally, the Company's wholly owned subsidiary Green Tree Servicing LLC ("GTS") has completed an excess servicing spread sale transaction with WCO. The excess servicing spread transaction represents the first investment made by WCO and involved the acquisition by WCO of 70% of the excess servicing spread from a pool of GTS' mortgage servicing rights with an unpaid principal balance of approximately $25 billion. The sales price of the excess servicing spread transaction was approximately $75 million.
"We are pleased to announce the completion of this excess spread sale to WCO, an initial step in Walter Investment's transition toward a more capital-light business model," said Mark J. O'Brien, Chairman and Chief Executive Officer of Walter Investment.
About Walter Investment Management Corp.
Walter Investment Management Corp. is an asset manager, mortgage servicer and originator focused on finding solutions for consumers and credit owners. Based in Tampa, Fla., the Company has over 6,700 employees and services a diverse loan portfolio. For more information about Walter Investment Management Corp., please visit the Company's website at www.walterinvestment.com. The information on our website is not a part of this release.
Disclaimer and Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements, including forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements concerning Walter Investment's plans, beliefs, objectives, expectations and intentions and other statements that are not historical or current facts. Forward-looking statements are based on Walter Investment's current expectations and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such forward-looking statements. Important assumptions and other important factors that could cause actual results to differ materially from those forward-looking statements include, but are not limited to, those factors, risks and uncertainties described under "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2013.
SOURCE Walter Investment Management Corp.