Nov. 18 at 9:26 PM
$ONIT FILING BREAKDOWN: The >50% Cash Injection 🚨💰
The market is sleeping on the scale of this deal. Onity just sold its reverse mortgage assets, but here is the math that matters:
1️⃣ **The Cash:** Net proceeds of **
$100M -
$110M**.
2️⃣ **The Valuation:** Current Market Cap is only **~
$175M**.
👉 **IMPLICATION:** They just raised CASH equal to >50% of the entire company's value. 🤯
The Strategy (DD):
✅ **Leaner:** Exiting the capital-heavy "originations" business.
✅ **Recurring Revenue:** Secured a 3-year agreement to remain the *subservicer* (fees without the risk).
✅ **Catalyst:** Cash will fuel debt reduction and **share repurchases**.
When a company gets a cash injection worth half its stock price, a re-rate is usually imminent. 🐂📈
Source 👉 https://wiseek.ai/ticker/onit/onity-group-sells-reverse-mortgage-assets-for-100m-cash-repositions-for-growth-000149315225024065/
#ONIT #DeepValue #SpecialSituations #Buyback #Stocks
