A subsidiary of the lender and servicer, which is undertaking a
The company is offering $1,100 in cash and principal amount of new notes for every $1,000 principal amount in old notes, the disclosure said. It also won't accept any exchange that would result in less than a $2,000 principal amount of new notes.
A company spokesperson declined to comment beyond the SEC release, but a representative referenced executive comments in recent earnings reports hinting at the exchange. The current senior notes were due in the fourth quarter of 2025.
"We believe that by addressing these notes in the near term, we will derisk the outlook for the company for the benefit of all stakeholders," said David Hayes, chief financial officer for Loandepot, in a first quarter earnings call last month.
The new notes are secured by sums including mortgage servicing rights with a fair value of up to $60 million; $100.6 million of 2028 senior notes held by Artemis Management, another Loandepot subsidiary; and credit risk retention securities to be repurchased from an unnamed counterparty.
Mr. Cooper, Pennymac and Rithm Capital this year
Under the wide-ranging cost savings plan, the company
The pullbacks stack against mortgage origination figures still well into the billions, and a gain-on-sale margin that's approaching 300 basis points. Loandepot counts a servicing portfolio of $142.3 billion, and warehouse and other lines of credit
A day after the senior note announcement, Loandepot's stock rose to $2.24 per share at market close Wednesday, before settling around $2.08 per share by Thursday afternoon.