Home Loan Servicing Solutions (NASDAQ:HLSS) is servicing its capital base with a new share offering that should total nearly $300 million. The company is floating 13 million shares of its stock in an underwritten public issue at a price of $23 per share. All told, the gross proceeds of the offering should amount to roughly $299 million.
HLSS said it plans to use its share of the proceeds of the issue to purchase the mortgage servicing assets of Ocwen's (NYSE:OCN) loan servicing arm, plus expenses related to the transaction.
The joint book-running managers of the issue are Barclays' Capital division, JPMorgan Chase's J.P. Morgan Securities, Bank of America's Merrill Lynch, and the Securities unit of Wells Fargo. The offering is expected to close on June 26.
At the moment, HLSS has nearly 57 million shares outstanding, and its stock trades at $23.01 per share.
Fool contributor Eric Volkman has no position in any stocks mentioned. The Motley Fool recommends Bank of America and Wells Fargo and owns shares of Bank of America, JPMorgan Chase, and Wells Fargo. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.