New Issue: Walter Investment sells upsized $575 million eight-year notes at par to yield 7 7/8%

By Paul A. Harris

Portland, Ore., Dec. 12 - Walter Investment Management Corp. priced an upsized $575 million issue of eight-year senior notes (B3/B) at par to yield 7 7/8% on Thursday, a syndicate source said.

The deal was upsized from $500 million.

The yield printed on top of yield talk.

Barclays, Morgan Stanley & Co. LLC, BofA Merrill Lynch, Credit Suisse Securities (USA) LLC, RBS Securities Inc. and J.P. Morgan Securities LLC were the joint bookrunners.

The Tampa, Fla.-based asset management company plans to use the proceeds to finance the acquisition of mortgage servicing rights, to repay bank debt and for general corporate purposes.

Issuer:	Walter Investment Management Corp.
Amount:	$575 million, increased from $500 million
Maturity:	Dec. 15, 2021
Securities:	Senior notes
Bookrunners:	Barclays, Morgan Stanley & Co. LLC, BofA Merrill Lynch, Credit Suisse Securities (USA) LLC, RBS Securities Inc., J.P. Morgan Securities LLC
Coupon:	7 7/8%
Price:	Par
Yield:	7 7/8%
Spread:	539 bps
First call:	Dec. 15, 2016 at 105.906
Trade date:	Dec. 12
Settlement date:	Dec. 17
Ratings:	Moody's: B3
	Standard & Poor's: B
Distribution:	Rule 144A and Regulation S with registration rights
Price talk:	7 7/8% area
Marketing:	Roadshow

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