New Residential Investment Corp. has priced the public offering of more than 49.2 million shares of its stock that it plans to use to pay for
New Residential will offer the stock at a public offering price of $15 per share, the company said late Monday. Including the roughly 7.4 million shares that the company has optioned to underwriters of the offering for a 30-day period, the company stands to earn $848.2 million from the offering.
The offering is expected to close Feb. 3.
Proceeds from the offering fund in part the cost of New Residential's acquisition of conventional mortgage servicing rights from CitiMortgage that have a total unpaid principal balance of $97 billion. Nationstar expects to begin bringing on the MSRs in the beginning of the second quarter of 2017.
Whatever proceeds do not go toward the CitiMortgage MSR acquisition will be used for additional investments and general corporate purposes, the company said.
Citigroup Global Markets, Barclays Capital, B of A Merrill Lynch and Credit Suisse Securities will act as the offering's joint book-running managers, and BTIG and FBR Capital Markets are its co-managers.
