Luminent Mortgage Capital, a San Francisco-based real estate investment trust that has been having liquidity problems, has penned a letter of intent to sell warrants equal to a 49% voting equity stake and 51% economic interest to Arco Capital Corp., San Juan, P.R.Arco also arranged for the repurchase of $65 million in mortgage securities portfolios. The warrants have an exercise price of $0.18 per share. Luminent's board of directors audit committee has decided not to seek its shareholder approval for the issuance of the warrants. The company said seeking such approval could seriously further jeopardize the financial viability of Luminent. "The board believes that even with the possibility of sizeable dilution to existing Luminent stockholders, the transactions proposed by the letter of intent with Arco create the best path both to attempt to protect current value and grow potential value going forward," said Trez Moore, Luminent chief executive.
-
While the company made headway in reducing operational costs, it incurred several million dollars worth of expenses as it dealt with the January incident.
4h ago -
The rightsizing measures impacted workers in Colorado and Florida who worked at acquired Computershare Mortgage Services and its affiliate Specialized Loan Servicing.
7h ago -
Former Angel Oak Lending Chief Marketing Officer Steven Winokur has come back into the non-qualified mortgage business by taking a marketing role at Carrington Mortgage Services.
9h ago -
The process of making changes to foreclosure prevention programs has been complicated by differences in how the Department of Veterans Affairs operates compared to an agency like the Federal Housing Administration.
10h ago -
Originators increased program offerings for the fifth consecutive month, but overall credit availability remains tight, the Mortgage Bankers Association said.
11h ago -
Malhotra joins the home finance giant after previously helping launch platforms to provide generative AI enterprise solutions and founding a technology research lab at the global multinational firm.
May 6