CrossCountry Mortgage Sweetens Two Harbors Deal with Pro-Rated Dividend, Boosting Value to $12.45-$12.68/Share
TWO sits 45% above its 52-week low of $8.78.
Summary
CrossCountry Mortgage (CCM) has announced an amendment to its merger agreement with Two Harbors Investment Corp. (TWO), which will now include a pro-rated dividend for the quarter in which the acquisition closes. This dividend provides up to an additional $0.34 per share, increasing the total cash value for TWO stockholders to an estimated $12.45-$12.68 per share, assuming a Q3 closing. This development significantly enhances the CCM offer, making it competitive with UWM Holdings Corp.'s (UWMC) latest unsolicited bid of $12.50 per share. This is a critical update in the ongoing bidding war for Two Harbors, directly impacting the value shareholders would receive and potentially influencing the outcome of the acquisition. Traders will be watching for any further responses from UWMC or shareholder reactions.
At the time of this announcement, TWO was trading at $12.72 on NYSE in the Finance sector, with a market capitalization of approximately $1.3B. The 52-week trading range was $8.78 to $14.17. This news item was assessed with positive market sentiment and an importance score of 9 out of 10. Source: Reuters.