"UWM Holdings Corp. is challenging Two Harbors Investment Corp.'s board after it rejected a $12 per share acquisition proposal in favor of an $11.30 per share deal with CrossCountry Mortgage LLC, issuing a lengthy response that questioned the board's analysis and process."
"UWM pushed back on the board's description of closing risks, including references to potential balance sheet erosion and concerns about UWM's credibility because its proposals have been accompanied by litigation threats."
"The bidder called the board's stance disingenuous, noting that the same directors had recommended a transaction with UWM in December, including by highlighting the ability to achieve necessary approvals."
UWM Holdings Corp. is contesting the rejection of its $12 per share acquisition proposal by Two Harbors Investment Corp., which opted for an $11.30 per share deal with CrossCountry Mortgage. UWM claims its bid is fully financed with a $1.3 billion bridge facility and disputes the board's risk analysis, arguing that it misrepresents the financial situation. UWM asserts that the board's arguments are illogical and prevent shareholders from receiving a higher value. The board cited various risks associated with UWM's proposal, including financing and credibility concerns.
Read at www.housingwire.com
Unable to calculate read time
Collection
[
|
...
]