Better.com

The lender disclosed multimillion dollar bonuses to executives last week amid reports that it laid off staff following its Wall Street debut.

The ads ran on websites including Investopedia, Martha Stewart and Southern Living, a lawsuit alleges.

The lender has shed nearly 80% of its expenses in the past year, in part through massive downsizing.

The lender's share price fell 93% Thursday as the industry reckoned with average mortgage rates hitting a 22-year high.

The lender, which endured two difficult years of limbo before its listing, is touting a capital infusion of at least $550 million as a key to future growth.

The business combination is anticipated to occur on or about August 22, and trade under the symbols BETR and BETRW.

A successful merger would culminate an over two-year period of major losses and pestered with criticism over the firm's mass layoffs.

The lender has cut over 80% of its workforce since late 2021 and posted an $889 million net loss in 2022, it revealed in a financial filing.

A federal judge recently gave the go-ahead to the lawsuit from the larger company against its smaller competitor.

Past disclosures about the lender's numbers aren't in question but its acquirer's are, according to new filings.

While it isn't a partnership between the firms, Amazon Web Services powers the loan origination system for the lender, which has funded over $1 billion in mortgage volume with the online retail giant's workers.

An extension would give the companies an additional six months beyond a current March deadline to complete the transaction.

Of 26 fired employees in a layoff round, 17 were either currently on paternity or maternity leave or planning to take it in the near future, according to the legal filing.

The companies formed a partnership in 2019, in which the lender would handle mortgage processing, underwriting and closing for the digital-only bank.

The lender's sponsors also amended their financial commitments once the merger is completed or if it fails by a March 2023 deadline.

The embattled mortgage business cut approximately 72% of its workforce over a six-month period, according to a Securities and Exchange Commission filing.

A lawyer for the former head of sales alleged that the company is close to losing its warehouse line of credit while unnamed sources in a media report say the plaintiff was slacking off at the end of her tenure with the lender.

After a turbulent period of layoffs, financial losses, allegations of misconduct and other public gaffes, the digital lender attempts to start anew with the hiring of Sushil Sharma as chief growth officer and others.

The appointment of eight new company leaders comes after months of bleak news including allegations of misleading investors, massive layoffs and a still-unfinished effort to go public.

The lender and its founder are accused of retaliating against the second-in-command for raising alarm over deceptive financial statements and other concerning behavior.