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Home » Store » Originations » Ocwen Buys Some Time With New Residential Servicing Deal, But Doubts Remain About Who Will Fill the Void

Ocwen Buys Some Time With New Residential Servicing Deal, But Doubts Remain About Who Will Fill the Void

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Can the financially troubled and regulator-challenged Ocwen Financial survive? It’s not an unfair question given its most recent travails and this week’s news that it struck a $425.0 million transaction “in principle” to sell some of the cash flows on $117 billion in mostly non-agency servicing rights to New Residential Investment Corp. As the weekend approached, analysts that follow the company were speculating that Ocwen is going through what looks like a controlled liquidation, selling off assets – mostly the cash flow stream on its servicing portfolio – and buying time while it fights regulatory sanctions in 31 states. The company is...
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