(Bloomberg) — Radian Group Inc., the largest U.S. mortgage insurer, said it will purchase Clayton Holdings for $305 million to expand outsourcing services for the home-lending industry.
|Radian will issue shares and bonds to fund the purchase, the Philadelphia-based company said today in a statement on its website. The $305 million sum includes the repayment of Clayton's outstanding debt, according to the statement.
|To help pay for the deal, Radian plans to sell 15.5 million shares of common stock and $200 million in bonds, the insurer said today in a separate statement. Goldman Sachs Group Inc. is managing the sale.
|Radian declined 1.8% today to $14.05 in New York and has slipped less than 1 percent this year. At that price, shares being sold have a value of about $218 million.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
- Educational webcasts, resources from industry leaders, and informative newsletters.
- Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
