M&A - RADIAN GROUP INC

Form Type: 8-K

Filing Date: 2025-05-05

Corporate Action: Acquisition

Type: New

Accession Number: 000119312525112820

Filing Summary: On April 30, 2025, Radian Group Inc. entered into a Guaranty in favor of Everbank Bank, N.A. to support its subsidiary Radian Mortgage Capital LLC (RMC) in a $125 million mortgage loan repurchase facility. This facility enables RMC to finance the acquisition of residential mortgage loans for direct sale or securitization. The accompanying Master Repurchase Agreement allows for the sale and repurchase of specific residential mortgage loan assets, expiring on April 29, 2026. The agreement includes provisions for funding advances, interest calculations based on customary transaction rates, and rights for Everbank in case of a market value decline of the assets. Radian is subject to various financial covenants including maintaining a minimum liquid asset balance of $25 million and limitations on incurring additional debt. The agreement's details and covenants are crucial for ensuring compliance and financial stability in the context of RMC’s acquisitions.