Nationstar Mortgage Holdings Inc. (NYSE: NSM) (“Nationstar”), a leading residential mortgage services company, today announced the pricing of $200 million aggregate principal amount of 6.500% Senior Notes due 2021 (the “Additional Notes”) offered by its wholly-owned subsidiaries Nationstar Mortgage LLC (the “Company”) and Nationstar Capital Corporation (together with the Company, the “Issuers”), which was upsized due to significant demand from its original $150 million launch. The Additional Notes are a follow-on issue to the Issuers’ $400 million aggregate principal amount of 6.500% Senior Notes due 2021 issued on February 7, 2013 (the “Existing Notes”) and form a single series of debt securities with the Existing Notes. The Additional Notes will be issued in a private placement at an offering price of 103.250%, have an effective yield of 5.828% and carry a coupon of 6.500% per annum, payable semi-annually in arrears, beginning July 1, 2013. The offering is expected to close on March 26, 2013, subject to customary closing conditions. The Additional Notes will be unsecured and will be guaranteed on a senior basis by Nationstar, Nationstar Sub1 LLC, Nationstar Sub2 LLC and certain of the Company’s wholly-owned subsidiaries.
The Issuers will use the net proceeds from this offering for general corporate purposes, which may include future acquisitions and transfers of servicing portfolios, including, but not limited to, the acquisition of certain residential mortgage servicing assets from Bank of America, National Association, and/or related businesses from third parties, including, but not limited to, from one or more affiliates of the initial purchasers in this offering.
The Additional Notes and related guarantees have not been registered under the Securities Act of 1933, as amended (the “Securities Act”), or any state securities laws. Accordingly, the Additional Notes are being offered and sold only to “qualified institutional buyers” (as defined in Rule 144A under the Securities Act) and outside the United States to non-U.S. persons in offshore transactions in accordance with Regulation S under the Securities Act. Therefore, the Additional Notes will be subject to restrictions on transferability and resale, and may not be transferred or resold absent an effective registration statement or an applicable exemption from such registration requirements of the Securities Act.