Overview
- Two Harbors’ board, which rejected UWM’s revised $12 bid Monday, reaffirmed its pact to sell to CrossCountry for $11.30 in cash.
- UWM countered that its offer has a committed $1.3 billion bridge from Mizuho with diligence now waived and said the board blocked access to higher value.
- CrossCountry replied Tuesday that it has $3.4 billion of signed financing, including a new $1.4 billion unsecured Citi facility, and said its deal does not depend on market tests.
- The board warned that many investors would default into UWM stock now worth about $8.54 per Two Harbors share and cited Fitch’s outlook cuts tied to UWM’s rising debt and cash drain.
- Shareholders vote May 19, and the result could shape jobs and operations because a failed, conditional deal could trigger staff losses and delay licenses by at least 120 days.