Onity Group (ONIT) Registration Filing summary

Company overview and business model

• Operates as a financial services company focused on servicing and originating forward and reverse mortgage loans through subsidiaries, primarily PHH Mortgage Corporation under PHH Mortgage and Liberty Reverse Mortgage brands.

• Headquartered in West Palm Beach, Florida, with significant operations in the U.S., USVI, India, and the Philippines, employing approximately 4,300 people as of December 31, 2024.

• Services mortgage portfolios for its own MSR portfolio and on behalf of third parties, including GSEs, Ginnie Mae, and private-label securitizations.

• Sources servicing portfolio through retail, wholesale, correspondent, flow MSR purchase agreements, Agency Cash Window programs, and bulk MSR purchases.

• Originates, sells, and securitizes conventional and government-insured forward mortgage loans, and is an approved issuer of HECM-Backed Securities guaranteed by Ginnie Mae.

Financial performance and metrics

• Acquired assets from Mortgage Assets Management, LLC with an estimated book value of $55.1 million, including HECM reverse mortgage loans and servicing rights with a projected UPB of $3.0 billion and $20 million in cash.

• As of March 31, 2025, serviced a portfolio of reverse mortgage assets with a total UPB of approximately $5.2 billion on behalf of Waterfall.

Use of proceeds and capital allocation

• Will not receive any proceeds from the sale of Series B Preferred Stock by the selling stockholders; proceeds go to the selling stockholders.

• Company and selling stockholders share certain registration-related costs and expenses; selling stockholders bear commissions and discounts on their sales.