Rithm Capital To Acquire Computershare Mortgage Services For $720 Mln

(RTTNews) - Rithm Capital Corp. (RITM), an asset management company, announced on Monday that it has entered into a definitive agreement with Computershare Ltd (CMSQY) to acquire Computershare Mortgage Services Inc. including Specialized Loan Servicing LLC or SLS for around $720 million.

The acquisition is expected to complete in the first half of 2024, subject to customary closing conditions, including regulatory approvals.

Upon the transaction close, the services of SLS will be managed by Newrez LLC, a company owned by Rithm Capital.

The acquisition consists of around $136 billion in unpaid principal balance of mortgage servicing rights, of which $85 billion is third-party servicing, along with SLS's origination services business.

The acquisition will be funded by a mix of cash, available liquidity, as well as additional Mortgage servicing rights financing.

In pre-market activity, shares of Rithm Capital are trading at $9.32, up 0.32% on the New York Stock Exchange.