Onity Group Inc. - ONIT STOCK NEWS

Onity Group reported strong Q3 2024 results with net income of $21 million and diluted EPS of $2.65. The company achieved an adjusted pre-tax income of $35 million, with a return on equity of 19% and adjusted pre-tax ROE of 31%. Key highlights include $18 billion in total servicing additions, improved book value per share to $59.50, and debt-to-equity ratio reduction to 2.9x from 3.9x. Originations volume reached $8.5 billion, up 23% from Q2 2024. The company successfully priced $500 million of senior notes due 2029 and reduced MSR and Corporate debt by $182 million in 2024.

Onity Group (NYSE: ONIT), a leading non-bank mortgage servicer and originator, has announced a conference call scheduled for Tuesday, November 5, 2024, at 8:30 a.m. ET. The call will cover third quarter 2024 operating results and provide a business update.

Participants can join via phone at (800) 343-5172 or (203) 518-9856, or through a live audio webcast on the company's website. An investor presentation will be available before the call on the Shareholder Relations page. A replay will be accessible through the website and phone until November 19, 2024.

Onity Group (NYSE: ONIT) announced the pricing of $500 million of 9.875% Senior Notes due 2029 at 99.556% of principal value. The notes will be initially issued by PHH Escrow Issuer , a subsidiary of PHH The proceeds, along with additional cash, will be held in escrow pending conditions including the completion of Onity's sale of its 15% stake in MSR Asset Vehicle to Oaktree Capital Management funds. Upon meeting escrow conditions, PHH will become co-issuer, with Onity and certain subsidiaries becoming guarantors. The proceeds will be used to redeem PHH Mortgage's 7.875% Senior Notes due 2026 and Onity's 12.00%/13.25% Senior Second Lien Notes due 2027.

Onity Group Inc. (NYSE: ONIT), a leading non-bank mortgage servicer and originator, has announced plans to offer $475 million in Senior Notes due 2029 through its subsidiary PHH Escrow Issuer The proceeds will be held in escrow pending the completion of Onity's sale of its 15% stake in MSR Asset Vehicle to Oaktree Capital Management-affiliated funds. Upon meeting escrow conditions, PHH will become a co-issuer, with Onity and certain subsidiaries as guarantors.

The net proceeds, combined with the MAV Sale proceeds and cash on hand, will be used to redeem all outstanding 7.875% Senior Notes due 2026 of PHH Mortgage and all 12.00%/13.25% Senior Second Lien Notes due 2027 of Onity. The Notes are being offered only to qualified institutional buyers and non-U.S. persons in compliance with Securities Act regulations.

Onity Group Inc. (NYSE: ONIT) has announced multiple transactions to accelerate its capital restructuring plans. Key points include:

• Selling its 15% interest in MAV to Oaktree for approximately $49 million
• Redeeming at least $150 million of Onity Notes in Q4 2024
• Acquiring assets from Mortgage Assets Management (MAM) with an estimated net asset value of $55 million
• Completing a securitization transaction resulting in $46.1 million of liquidity
• Selling a portfolio of Fannie Mae and Freddie Mac MSRs, reducing MSR debt by $73.4 million and receiving $26.5 million in cash
• Purchasing and cancelling $23.5 million of PMC Notes at a discount

These transactions aim to reduce high-cost corporate debt, improve future income and cash flow, and strengthen Onity's position in reverse servicing.

Waterfall Asset Management has announced a strategic partnership expansion with Onity Group Inc. (NYSE: ONIT), involving the transfer of reverse mortgage assets from Waterfall's subsidiary, Mortgage Assets Management, (MAM), to Onity. The assets include Home Equity Conversion Mortgages (HECMs) and related securities, which are already subserviced by Onity's subsidiary, PHH Mortgage

Leo Wong, Partner at Waterfall, emphasized the transaction's importance in growing their reverse mortgage initiatives and leveraging complementary strengths with Onity. Wong also highlighted the value of HECMs for homeowners seeking to access equity without selling their homes, especially in the current low mortgage rate environment.

This move demonstrates Waterfall's commitment to expanding its presence in the reverse mortgage sector while capitalizing on Onity's operational capabilities.

Onity Group Inc. (NYSE: ONIT) reported strong Q2 2024 results, with $11 million in net income and $1.33 diluted EPS. The company achieved an adjusted pre-tax income of $32 million, primarily driven by its servicing segment, resulting in a 28% annualized adjusted pre-tax return on equity. Onity added $19 billion in total servicing, including $12 billion in subservicing. The company's debt-to-equity ratio improved to 3.88 to 1. In July, Onity entered a letter of intent to acquire reverse mortgage assets from Waterfall Asset Management, including a $3 billion projected UPB servicing portfolio. The transaction, expected to close in H2 2024, will be financed through $51.7 million in new preferred stock issued to Waterfall.

Onity Group Inc. (NYSE: ONIT), a leading non-bank mortgage servicer and originator, has announced a conference call scheduled for Thursday, August 1, 2024, at 8:30 a.m. (ET). The call will review the company's second quarter 2024 operating results and provide a business update. Interested parties can join via phone or through a live audio webcast available on the company's website.

An investor presentation will accompany the call and will be accessible on the Shareholder Relations page at onitygroup.com prior to the event. A replay of the conference call will be available on the website and via phone until August 15, 2024.

On June 10, 2024, Ocwen Financial officially rebranded as Onity Group, with the NYSE trading symbol changing to ‘ONIT’. The rebranding marks the company’s transformation into a balanced and diversified business with a strong servicing platform, multi-channel originations, asset management capabilities, and a technology-enabled global platform. The name change underscores the company’s commitment to delivering results and creating success for its customers and stakeholders. Onity’s primary brands, PHH Mortgage and Liberty Reverse Mortgage, will rebrand to Onity Mortgage in the fall.