View:
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
-----------------------------------------------
PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
DATE OF REPORT
(DATE OF EARLIEST EVENT REPORTED): JULY 1, 1998
OCWEN FINANCIAL CORPORATION
(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)
FLORIDA 0-21341 65-0039856
(STATE OR OTHER (COMMISSION (I.R.S. EMPLOYER
JURISDICTION FILE NUMBER) IDENTIFICATION NO.)
OF INCORPORATION)
THE FORUM, SUITE 1000
1675 PALM BEACH LAKES BOULEVARD, WEST PALM BEACH, FLORIDA 33401
(ADDRESS OF PRINCIPAL EXECUTIVE OFFICE)(ZIP CODE)
REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE: (561) 681-8000
N/A
(FORMER NAME OR FORMER ADDRESS, IF CHANGED SINCE LAST REPORT)
PAGE 1 OF 6
EXHIBIT INDEX ON PAGE 4
ITEM 5. OTHER EVENTS
The news release of Ocwen Financial Corporation dated July 1, 1998, announcing
the completion of its first securitization of UK subprime loans, is attached
hereto and filed herewith as Exhibit 99.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
The following exhibit is filed as part of this report:
(99) News release of Ocwen Financial Corporation dated July 1, 1998.
2
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the registrant has duly caused this report to be signed on its behalf
by the undersigned, hereunto duly authorized.
OCWEN FINANCIAL CORPORATION
(Registrant)
By: /s/ Mark S. Zeidman
-----------------------------------------------------
Mark S. Zeidman
Senior Vice President and Chief Financial Officer
Date: July 2, 1998
3
INDEX TO EXHIBIT
EXHIBIT NO. DESCRIPTION PAGE
99 News release of Ocwen Financial Corporation dated 5
July 1, 1998, announcing the completion of its first
securitization of UK subprime loans.
4
================================================================================
Ocwen Financial Corporation Exhibit 99
1675 Palm Beach Lakes Boulevard
West Palm Beach, FL 33401
(NYSE: OCN)
================================================================================
NEWS RELEASE: IMMEDIATE July 1, 1998
OCWEN FINANCIAL CORPORATION COMPLETES FIRST SECURITIZATION OF UK SUBPRIME LOANS
LARGEST SECURITIZATION IN UK SUBPRIME MORTGAGE MARKET
WEST PALM BEACH, FL -- Ocwen Financial Corporation (NYSE: OCN), a recognized
market leader in servicing subperforming and nonperforming loans in the U.S.,
today announced that it has completed a (UK pound)222.0 million subprime
residential mortgage loan securitization, the largest such securitization in the
history of the UK.
Greenwich NatWest structured the securities and arranged and underwrote the
transaction. Greenwich Capital, its US affiliate, was the US placement agent and
Barclays Capital Group acted as co-manager.
William C. Erbey, Chairman and Chief Executive Officer of Ocwen Financial said,
"The securitization of these loans which was executed as planned - reinforces
our belief that our entry into the UK mortgage market will be beneficial to
Ocwen. Because we are the largest servicer of subprime mortgage loans in the UK,
we believe we can enhance value to investors and customers by bringing our loan
resolution expertise, servicing capabilities and leading technology to the
underserved UK mortgage market."
The security, Ocwen Mortgage Loans 1 plc, Series 1998-1, is rated by Standard &
Poor's and Duff & Phelps Credit Rating Co. Over 80% of the notes issued are
rated AAA and all subordinate classes are rated investment grade. Ocwen UK plc,
through its wholly-owned subsidiary Ocwen Servicing Limited, will administer the
mortgage portfolio. Ocwen UK plc is a wholly-owned subsidiary of Ocwen Financial
Corporation.
CLASS AMOUNT RATING
- ----- ------ ------
Class A1 Notes (UK pound) 51,000,000 AAA/AAA
Class A2 Notes (UK pound) 130,000,000 AAA/AAA
Class M1 Notes (UK pound) 20,000,000 AA/AA
Class M2 Notes (UK pound) 11,000,000 A/A
Class B Notes (UK pound) 10,000,000 BBB/BBB
Through its acquisition of the UK business assets and mortgage portfolio of
Cityscape, Ocwen is a leading originator and the largest servicer of subprime
mortgage loans in the UK. Ocwen also holds a 32% interest in Kensington Mortgage
Company, a leading nonconforming loan originator in the UK.
Ocwen Financial Corporation is a $3.4 billion financial institution
headquartered in West Palm Beach, Florida. Ocwen's primary businesses are the
acquisition, servicing and resolution of subperforming and nonperforming
residential and commercial mortgage loans.
CERTAIN STATEMENTS CONTAINED HEREIN MAY NOT BE BASED ON HISTORICAL FACTS AND ARE
"FORWARD-LOOKING STATEMENTS" WITHIN THE MEANING OF SECTION 27A OF THE SECURITIES
ACT OF 1933, AS AMENDED, AND SECTION 21E OF THE SECURITIES ACT OF 1934, AS
AMENDED. THESE FORWARD-LOOKING STATEMENTS MAY BE IDENTIFIED BY REFERENCE TO A
FUTURE PERIOD(S) OR BY THE USE OF FORWARD-LOOKING TERMINOLOGY, SUCH AS
"BELIEVE," FUTURE OR CONDITIONAL VERB TENSES, SIMILAR TERMS, VARIATIONS ON SUCH
TERMS OR NEGATIVES OF SUCH TERMS. ACTUAL RESULTS COULD DIFFER MATERIALLY FROM
THOSE INDICATED IN SUCH STATEMENTS DUE TO A VARIETY OF FACTORS, INCLUDING, BUT
NOT LIMITED TO, INTERNATIONAL, NATIONAL, REGIONAL OR LOCAL ECONOMIC
ENVIRONMENTS, GOVERNMENT FISCAL AND MONETARY POLICIES, PREVAILING INTEREST OR
CURRENCY RATES, GOVERNMENT REGULATIONS AFFECTING FINANCIAL INSTITUTIONS,
5
COMPETITIVE PRODUCTS AND PRICING, CREDIT, PREPAYMENT, BASIS AND ASSET/LIABILITY
RISKS, LOAN SERVICING EFFECTIVENESS, THE FINANCIAL AND SECURITIES MARKETS,
AVAILABILITY OF DISCOUNT LOANS FOR PURCHASE, THE SIZE AND NATURE OF THE
SECONDARY MARKET FOR MORTGAGE LOANS AND THE MARKET FOR SECURITIZATIONS,
GEOGRAPHIC CONCENTRATIONS OF ASSETS (TEMPORARY OR OTHERWISE), OTHER FACTORS
GENERALLY UNDERSTOOD TO AFFECT THE REAL ESTATE ACQUISITION, MORTGAGE AND LEASING
MARKETS, AND OTHER RISKS DETAILED FROM TIME TO TIME IN THE COMPANY'S REPORTS AND
FILINGS WITH THE SECURITIES AND EXCHANGE COMMISSION, INCLUDING ITS REGISTRATION
STATEMENT ON FORM S-1 AND PERIODIC REPORTS ON FORMS 10-Q, 8-K AND 10-K.
- --------------------------------------------------------------------------------
Contact William C. Erbey (561) 682-8520
Christine A. Reich (561) 682-8569
- --------------------------------------------------------------------------------
6