Nationstar Mortgage has issued $300 million in senior notes for sale through a public offering and plans to use at least part of the proceeds to acquire certain residential mortgage servicing assets.
Nationstar Mortgage LLC and Nationstar Capital Corp. reported they intend to sell an aggregate principal amount of 6.5% in unsecured senior notes due 2022.
The notes will be guaranteed on a senior basis by Nationstar, Nationstar Sub1 LLC, Nationstar Sub2 LLC and certain of the company’s wholly owned subsidiaries.
The offering is expected to close on May 31.
More specifically, the issuers said they will use part of the net proceeds for “future acquisitions and transfers of servicing portfolios, including, but not limited to” certain residential mortgage servicing assets from Bank of America, National Association and related businesses from third parties.
The move is in line with the bank’s future expansion plans after its
By the end of the first quarter Nationstar’s servicing portfolio, as measured by unpaid principal balance, increased 50% to $312 billion, up from $208 billion in 4Q12.
In April, Nationstar closed on a $22 billion agency servicing portfolio acquisition and reported the agency portfolio acquisition and the closing of the Bank of America PLS portfolios is expected to occur in the second quarter, bringing Nationstar’s UPB to approximately $435 billion.
Jay Bray, chief executive officer of Nationstar, stated that the macro landscape offers tremendous opportunities so Nationstar “will continue to be opportunistic.” Even the recent acquisition of
