TWO - Two Harbors Investment to buy Roundpoint Mortgage to self-service MSRs
- Two Harbors Investment ( NYSE: TWO ) agreed to acquire RoundPoint Mortgage Servicing from Freedom Mortgage Corp. in a transaction that TWO expects will add about $20M to its annual pretax earnings after the company transfers its mortgage servicing rights to RoundPoint, the companies announced Wednesday.
- The deal is expected to give Two Harbors ( TWO ) greater control over its MSR portfolio through self-servicing and provide longer-term opportunities to expand upon and leverage RoundPoint's existing platform.
- Two Harbor's ( TWO ) Matrix Financial Services subsidiary will pay a preliminary purchase price upon closing in an amount equal to the tangible net book value at RoundPont plus a premium of $10.5M. Matrix agreed to engage RoundPoint as a subservicer before the closing date and to begin transferring loans to RoundPoint in Q4 2022. The deal is expected to close in 2023.
- Earlier, Two Harbors Investment ( TWO ) non-GAAP EPS of $0.22 beats by $0.03.
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Two Harbors Investment to buy Roundpoint Mortgage to self-service MSRs