Ocwen Financial Announces Reverse Stock Split

WEST PALM BEACH, Fla., Aug. 03, 2020 (GLOBE NEWSWIRE) -- Ocwen Financial Corporation (NYSE: OCN) (“Ocwen” or the “Company”), a leading non-bank mortgage servicer and originator, today announced that its Board of Directors approved a reverse stock split of authorized and outstanding shares of the Company’s common stock at a ratio of one-for-15.

As previously disclosed, on July 15, 2020, the Board approved a reverse stock split of the Company’s common stock at a ratio of one-for-25. Based on subsequent developments, including a significant increase in the trading price of the Company’s common stock, on July 28, 2020, Ocwen’s Board and management determined to move forward with a reverse stock split at a ratio of one-for-15.

The reverse stock split is expected to be effective at 5:00 p.m. EST on August 13, 2020 (“the Effective Time”). The Company’s common stock is expected to begin trading on a split-adjusted basis on the New York Stock Exchange (“NYSE”) at market open on August 14, 2020 under the new CUSIP number: 675746 606. The trading symbol for the Company’s common stock will remain “OCN.”

At the Effective Time, every fifteen (15) shares of issued common stock will be combined and converted into one (1) issued share of common stock. No fractional shares will be issued as a result of the reverse stock split. Once effective, the reverse stock split will reduce the number of shares of common stock issued and outstanding from approximately 130.0 million to approximately 8.7 million and will reduce the number of authorized shares from 200.0 million to approximately 13.3 million.

Stockholders who would otherwise be entitled to a fractional share of common stock will be entitled to one (1) whole share in lieu of such fractional share. Holders of the Company’s common stock held in book-entry form or through a bank, broker or other nominee do not need to take any action in connection with the reverse stock split. Stockholders of record will be receiving information from the Company’s transfer agent, American Stock Transfer & Trust Company, LLC, regarding their common stock ownership post-split. The reverse stock split will not modify any rights or preferences of the Company’s common stock.