Redwood Trust To Expand RWT Horizons' Pipeline Of New Venture Technology Investments Through Strategic Partnership With Frontiers Capital
Redwood Trust, Inc. (NYSE: RWT) has formed a strategic investment partnership with Frontiers Capital to enhance its venture investment strategy, RWT Horizons. This collaboration will focus on investing in early-stage startups within frontier technologies such as AI, machine learning, and blockchain. The partnership aims to provide new sourcing channels for technology investments and complements RWT Horizons' existing strategy, which has previously invested in eight early-stage companies. The goal is to disrupt the mortgage finance industry by leveraging innovative technologies.
- Formation of a strategic partnership with Frontiers Capital to enhance venture investment opportunities.
- Focus on high-potential sectors like AI and blockchain that could disrupt the mortgage finance industry.
- RWT Horizons has successfully invested in eight early-stage companies.
- None.
MILL VALLEY, Calif., Sept. 7, 2021 /PRNewswire/ -- Redwood Trust, Inc. (NYSE: RWT), a leader in expanding access to housing for homebuyers and renters, today announced an investment partnership with Frontiers Capital ("Frontiers"), a Silicon Valley based investment management firm focused on exponential technologies. Financial details of the transaction were not disclosed.
Redwood's venture investment strategy arm, RWT Horizons, and Frontiers Capital will invest in early-stage startups in frontier technologies, including artificial intelligence, machine learning, cloud computing, big data, blockchain, and 5G, among others. The partnership will provide a differentiated sourcing channel for technology investments to complement RWT Horizons' direct investment program, which to date has made strategic investments in eight early-stage companies with a nexus to Redwood's residential and business-purpose lending platforms. The Frontiers partnership will focus on sectors including real estate technologies, financial technologies, and digital infrastructure, all of which are anticipated to have a disruptive impact across these ecosystems in the near future.
Ryan McBride, Chief Investment Officer of RWT Horizons, commented, "Redwood and Frontiers have a shared vision for technology's ability to transform our world for the better. Frontiers' management team, with a combined 25 years of VC experience, brings significant expertise and unique sourcing channels which greatly complement the successful investment strategy currently deployed by the RWT Horizons team. We believe this strategic partnership can meaningfully increase our investment opportunities in high-quality, early-stage startups that have the potential to disrupt the mortgage finance industry."
Rupam Shrivastava and Ajay Singh, General Partners of Frontiers Capital, said, "We are pleased to work with Redwood, who has been an early supporter and investor of Frontiers Capital. This partnership brings together our focus on frontier and exponential technology investing and Redwood's leadership, deep sector knowledge and experience in real estate investing. We are looking forward to our strong future together made possible through this partnership."
About Redwood Trust
Redwood Trust, Inc. (NYSE: RWT) is a specialty finance company focused on several distinct areas of housing credit. Our operating platforms occupy a unique position in the housing finance value chain, providing liquidity to growing segments of the U.S. housing market not served by government programs. We deliver customized housing credit investments to a diverse mix of investors, through our best-in-class securitization platforms; whole-loan distribution activities; and our publicly traded shares. Our consolidated investment portfolio has evolved to incorporate a diverse mix of residential, business purpose and multifamily investments. Our goal is to provide attractive returns to shareholders through a stable and growing stream of earnings and dividends, capital appreciation, and a commitment to technological innovation that facilitates risk-minded scale. Since going public in 1994, we have managed our business through several cycles, built a track record of innovation, and a best-in-class reputation for service and a common-sense approach to credit investing. Redwood Trust is internally managed and structured as a real estate investment trust ("REIT") for tax purposes. For more information about Redwood Trust, visit our website at www.redwoodtrust.com or connect with us on LinkedIn, Twitter, or Facebook.
About RWT Horizons
RWT Horizons is a venture investment strategy focused on early and mid-stage companies driving innovation in financial and real estate technology, and digital infrastructure. Investments made through RWT Horizons are designed to support companies whose technologies are accretive to Redwood's businesses, including its residential and business-purpose lending platforms. The investment team is led by Ryan McBride, Chief Investment Officer of RWT Horizons and Chief Operating Officer at CoreVest (a division of Redwood Trust and the market's leading lender to residential real estate investors) who is responsible for the development and execution of the RWT Horizons strategy for capital deployment and strategic partnerships.
About Frontiers Capital
Frontiers Capital is an investment management firm focused on exponential technologies like Artificial Intelligence, Robotics, Immersive Computing, Quantum Computing, Life Sciences and Blockchain. The firm invests in early-stage startups, high growth public companies and innovative crypto assets. For more information about Frontiers Capital, visit our website at www.frontiers.capital or connect with us on LinkedIn or Twitter.
Forward-Looking Statements: This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve numerous risks and uncertainties. Our actual results may differ from our beliefs, expectations, estimates, and projections and, consequently, you should not rely on these forward-looking statements as predictions of future events. Forward-looking statements are not historical in nature and can be identified by words such as "anticipate," "estimate," "will," "should," "expect," "believe," "intend," "seek," "plan" and similar expressions or their negative forms, or by references to strategy, plans, or intentions. These forward-looking statements are subject to risks and uncertainties, including, among other things, those described in our Annual Report on Form 10-K for the year ended December 31, 2020 under the caption "Risk Factors." Other risks, uncertainties, and factors that could cause actual results to differ materially from those projected may be described from time to time in reports we file with the Securities and Exchange Commission, including reports on Forms 10-Q and 8-K. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
CONTACT
Investor Relations
Lisa Hartman – SVP, Head of Investor Relations
Phone: 866-269-4976
Email: investorrelations@redwoodtrust.com
Media Relations
Sard Verbinnen & Co
Email: Redwood-SVC@sardverb.com
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SOURCE Redwood Trust, Inc.
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