Ditech Holding Corporation (OTC Pink: DHCPQ) announced today that the United States Bankruptcy Court for the Southern District of New York has approved its previously announced asset purchase agreement with New Residential Investment Corp. and stock and asset purchase agreement with Mortgage Assets Management, LLC and its affiliate. The Court also confirmed the Company's Third Amended Joint Chapter 11 Plan.
As previously announced, Ditech Holding has entered into an asset purchase agreement under which New Residential has agreed to acquire substantially all of the assets of the Company's forward mortgage servicing and originations business, Ditech Financial LLC. In addition, Mortgage Assets has agreed to acquire certain stock and assets associated with the Company's reverse mortgage business, Reverse Mortgage Solutions, Inc. ("RMS"), and to maintain the current operations of RMS as a wholly-owned subsidiary.
"With the Court's approval and confirmation of our Plan, we are able to move forward with these value-maximizing transactions and achieve the best path forward for our stakeholders, including homeowners," said Thomas F. Marano, Chairman of the Board and Chief Executive Officer of Ditech Holding. "I would like to thank all of our employees for their hard work and dedication to serving our customers throughout this process."
Until the transactions close, Ditech Financial LLC and RMS will continue to operate as part of Ditech Holding and will continue serving customers in the ordinary course.
Additional information can be found on the restructuring page of Ditech Holding's website, http://ditechholding.com, or by calling the Company's Restructuring Hotline, toll-free at 1-866-486-4809 or 1-503-597-7698 for calls originating outside of the U.S. Customer information is available at https://dm.epiq11.com/ditechcustomer. In addition, Court filings and other documents related to the Court proceedings, including copies of the agreements, once available, are available on a separate website administered by the Company's claims agent, Epiq, at https://dm.epiq11.com/Ditech.
About Ditech Holding Corporation
Ditech Holding is an independent servicer and originator of mortgage loans and servicer of reverse mortgage loans. Based in Fort Washington, Pennsylvania, the Company services a diverse loan portfolio. For more information about Ditech Holding, please visit the Company's website at www.ditechholding.com. The information on the Company's website is not a part of this release.
About New Residential
New Residential is a leading provider of capital and services to the mortgage and financial services industries. With approximately $37 billion in assets as of June 30, 2019, New Residential has built a diversified, hard-to-replicate portfolio with high-quality investment strategies that have generated returns across different interest rate environments. New Residential's investment portfolio includes mortgage servicing related assets, non-agency securities (and associated call rights), residential loans and other related opportunistic investments. Since inception in 2013, New Residential has a proven track record of performance, growing and protecting the value of its assets while generating attractive risk-adjusted returns and delivering almost $3 billion in dividends to shareholders. Following the acquisition of Shellpoint Partners LLC ("Shellpoint") in 2018, New Residential also benefits from Shellpoint's origination and third-party servicing platform, as well as a suite of ancillary businesses, including title insurance, appraisal management, property management and other real estate services. New Residential is organized and conducts its operations to qualify as a real estate investment trust for federal income tax purposes. New Residential is managed by an affiliate of Fortress Investment Group LLC, a global investment management firm, and headquartered in New York City.
About Mortgage Assets Management, LLC
Mortgage Assets Management, LLC manages and oversees portfolios of mortgage servicing rights. With its corporate office located in Washington, D.C., Mortgage Assets supervises its portfolios through the implementation of risk management initiatives and an enhanced emphasis on maintaining a positive borrower experience.
