Welcome to our dedicated page for Redwood Trust news (Ticker: RWT), a resource for investors and traders seeking the latest updates and insights on Redwood Trust stock.
Redwood Trust, Inc. (NYSE: RWT) generates a steady flow of news as a specialty finance company and real estate investment trust focused on U.S. housing credit. This page aggregates press releases, earnings announcements and regulatory disclosures related to Redwood’s operations across its Sequoia, Aspire and CoreVest mortgage banking platforms and its Redwood Investments portfolio.
Readers can follow updates on Redwood’s loan production, securitization and whole-loan distribution activities, as well as developments in its transition from Legacy Investments toward its core operating model. The company regularly reports segment results, non-GAAP performance measures such as Earnings Available for Distribution and Core Segments EAD, and commentary on mortgage banking returns and capital allocation.
News coverage also includes information on capital markets transactions, such as offerings of senior notes and convertible senior notes, amendments to at-the-market equity programs, and expansions of strategic capital partnerships and secured financing facilities. Redwood’s announcements about joint ventures, including its partnership with Canada Pension Plan Investment Board, provide additional context on how it funds and scales its platforms.
Dividend declarations on common stock and Series A preferred stock, changes to share repurchase authorizations, and other board actions are disclosed through press releases and Form 8-K filings. Investors and analysts can use this news feed to track Redwood’s financial reporting dates, conference calls, shareholder letters and supplemental financial tables. For anyone monitoring RWT, this page offers a centralized view of the company’s operating performance, capital structure decisions and housing credit activities over time.
Redwood Trust (NYSE: RWT) has announced the pricing of a $90 million public offering of senior notes due 2030, with a 9.125% interest rate. The company has granted underwriters a 30-day option to purchase up to an additional $13.5 million in notes for over-allotments. The notes, expected to close on January 17, 2025, will be listed on the NYSE under the symbol 'RWTP' and have received a BBB- investment grade rating from Egan-Jones.
The proceeds will be used for general corporate purposes, including funding residential and business lending operations, acquiring mortgage-backed securities, and potentially repaying existing debt. The notes will pay interest quarterly, mature on March 1, 2030, and will be issued in minimum denominations of $25. Redwood maintains the right to redeem the notes after March 1, 2027, at 100% of principal plus accrued interest.
Redwood Trust (NYSE: RWT) announced significant updates to its residential consumer operating platforms. The company is expanding its home equity platform, Aspire, to include alternative loan products alongside existing home equity offerings. The expansion aims to address growing consumer demand for flexible financing solutions amid high interest rates and housing supply.
The new Aspire offerings include loans for consumers qualifying through alternative income calculation methods, such as bank statements and CPA-prepared profit-and-loss statements, as well as debt service coverage ratio (DSCR) loans for housing investors. Additionally, Redwood is refreshing the branding of its jumbo loan platform under the Sequoia name, which has been associated with the company's securitization shelf that has issued over 130 transactions.
Redwood Trust (NYSE: RWT) has announced a 5.9% increase in its fourth quarter 2024 common stock dividend to $0.18 per share, marking its 102nd consecutive quarterly dividend and second consecutive quarter of dividend increases. The dividend will be paid on December 30, 2024, to stockholders of record on December 23, 2024.
Additionally, the company declared a Series A preferred stock dividend of $0.625 per share for Q4 2024, payable on January 15, 2025, to stockholders of record on January 1, 2025. CEO Christopher Abate stated that this dividend level provides shareholders with an attractive risk-adjusted return aligned with long-term objectives.
CoreVest, a division of Redwood Trust, has promoted Fred Matera to Chief Executive Officer. Matera, who previously served as CoreVest's Co-Head and Redwood's Chief Investment Officer, will oversee CoreVest's operating strategy, product growth, and distribution. With over 30 years of experience in residential lending and fixed income markets, Matera has been part of Redwood's leadership team since 2019. In his new role, he will continue reporting to Dash Robinson, Redwood's President, focusing on driving innovation and expanding distribution channels to enhance value for customers and stakeholders.
Redwood Trust (NYSE: RWT) announces two strategic hires to enhance its technology and non-Agency mortgage capabilities. Abhinav Asthana joins as Chief Technology Officer effective November 1st, bringing nearly two decades of tech experience to lead AI initiatives and digital transformation. Jason Kopcak joins as Head of Alternative Strategies to expand non-Agency products and distribution channels. Asthana, previously at Tavant, will oversee technology operations and AI implementation. Kopcak, with experience at Morgan Stanley and Nomura Holdings, will focus on serving underserved borrowers and strengthening institutional investor relationships.
Redwood Trust (NYSE:RWT) reported its Q3 2024 financial results with GAAP net income of $13.1 million ($0.09 per share) and non-GAAP Earnings Available for Distribution of $25.2 million ($0.18 per share). The company's book value per common share increased slightly to $8.74, delivering an economic return of 2.1% for Q3 and 6.8% YTD. The company increased its quarterly dividend by 6.25% to $0.17 per share. Residential Consumer Mortgage Banking achieved strong performance with $2.2 billion in loan locks and distributed $1.5 billion of jumbo loans. The Investment Portfolio deployed $157 million of capital, while maintaining a low recourse leverage ratio of 0.7x.
Redwood Trust (NYSE: RWT) has announced the date for its third quarter 2024 financial results webcast and conference call. The company will release its results on Wednesday, October 30, 2024, after the New York Stock Exchange closes. A conference call with senior management will follow at 5:00 p.m. Eastern Time / 2:00 p.m. Pacific Time on the same day.
Investors can access the webcast through Redwood's Investor Relations website. For those participating by phone, dial-in numbers are 1-877-423-9813 (domestic) or 1-201-689-8573 (international). A replay will be available until November 13, 2024, accessible via 1-844-512-2921 (domestic) or 1-412-317-6671 (international) with passcode 13749054.
Redwood Trust (NYSE: RWT) has priced a $40 million reopening of its 7.75% convertible senior notes due 2027. The notes will be part of the same series as the $207,410,000 aggregate principal amount currently outstanding. The offering is expected to close on October 11, 2024. The conversion rate is 95.6823 shares of common stock per $1,000 principal amount, equivalent to a conversion price of approximately $10.45 per share, a 38% premium to the closing price on October 9, 2024.
Redwood estimates net proceeds of $38.2 million after deducting costs. The company intends to use the proceeds to repurchase a portion of its 5.75% exchangeable senior notes due 2025 and for general corporate purposes. The notes and any shares issuable upon conversion have not been registered under the Securities Act and can only be offered or sold pursuant to exemptions from registration requirements.
Redwood Trust, Inc. (NYSE: RWT) has announced a 6.25% increase in its third quarter 2024 common stock dividend to $0.17 per share, marking its 101st consecutive quarterly dividend. The dividend is payable on September 30, 2024, to stockholders of record on September 23, 2024. CEO Christopher Abate expressed confidence in the company's balance sheet strength and outlook amid an expected more accommodative interest rate environment. Redwood anticipates further scale in mortgage banking operations and unlocking embedded value in its investment portfolio, driving earnings and book value expansion. Additionally, the company declared a Series A preferred stock dividend of $0.625 per share for Q3 2024, payable on October 15, 2024.
Redwood Trust (NYSE:RWT) reported its Q2 2024 financial results, showing a GAAP net income of $13.8 million or $0.10 per share. The company's GAAP book value per common share was $8.73 as of June 30, 2024, with an economic return on book value of 1.3% for the quarter. Redwood's residential consumer mortgage banking saw a 49% increase in lock volume to $2.7 billion, while the residential investor mortgage banking funded $459 million in loans, up 41% from Q1. The company maintained a recourse leverage ratio of 2.1x and declared a quarterly dividend of $0.16 per common share. Redwood also reported $276 million in unrestricted cash and $332 million in unencumbered assets at quarter-end.
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