Ocwen Financial Announces Closing of $600.0 Million Servicing Advance Securitization
16 November 2015 - 10:00PM
Ocwen Financial Corporation, (NYSE:OCN)
(“Ocwen” or the “Company”), today announced the
closing of an offering of $600.0 million aggregate principal amount
of fixed rate asset-backed term notes (the “Notes”) issued by Ocwen
Master Advance Receivables Trust (“OMART”). The Notes, which
consist of $200.0 million of one-year notes and $400.0 million of
two-year notes, carry a weighted average fixed interest rate of
3.25% and were issued on Friday, November 13, 2015. The net
proceeds from the sale of the Notes were used to refinance $600.0
million in existing floating rate OMART servicing advance
financing.
“I am pleased to announce the closing of our
recent servicing advance securitization,” said Michael Bourque,
Executive Vice President and CFO of Ocwen. “We believe that this
execution, which replaces floating rate debt with longer dated
fixed rate term debt at favorable rates, demonstrates continued
confidence in Ocwen within the capital markets.”
The Notes are secured by servicing advance
receivables associated with the Company’s private label servicing
portfolio, and were issued in various credit classes with ratings
by Standard & Poor’s from AAA to BBB.
The Notes have not been registered under the
Securities Act of 1933, as amended (the “Securities Act”), or any
state securities laws. Accordingly, the Notes were offered and sold
only to “qualified institutional buyers” (as defined in Rule 144A
under the Securities Act) and outside the United States to non-U.S.
persons in offshore transactions in accordance with Regulation S
under the Securities Act. Therefore, the Notes will be subject to
restrictions on transferability and resale, and may not be
transferred or resold absent an effective registration statement or
an applicable exemption from such registration requirements of the
Securities Act.
This press release does not constitute an offer
to sell or solicitation of an offer to purchase with respect to the
Notes or any other securities, nor shall there be any sale of the
Notes in any state or jurisdiction in which such offer,
solicitation or purchase would be unlawful prior to the
registration or qualification under the securities laws of any such
jurisdiction. Credit ratings are not a recommendation to buy, sell
or hold any security and are subject to change or withdrawal at any
time.
About Ocwen Financial Corporation
Ocwen Financial Corporation is a financial services holding
company which, through its subsidiaries, is engaged in the
servicing and origination of mortgage loans. Ocwen is headquartered
in West Palm Beach, Florida, with offices throughout the United
States and support operations in India and the Philippines.
Utilizing proprietary technology, global infrastructure and
superior training and processes, Ocwen provides solutions that help
homeowners and make our clients’ loans worth more. Ocwen may post
information that is important to investors on its
website (www.Ocwen.com).
FOR FURTHER INFORMATION CONTACT:
Investors:
Stephen Swett
T: (203) 614-0141
E: shareholderrelations@ocwen.com
Media:
John Lovallo
T: (917) 612-8419
E: jlovallo@levick.com
Dan Rene
T: (202) 973 -1325
E:drene@levick.com
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