Ditech Holding Corporation Reaches Consensual Resolution of Objections to Plan of Reorganization
PR Newswire PR Newswire•September 10, 2019
Will Seek Confirmation of Plan of Reorganization at Hearing Scheduled for September 25, 2019
FORT WASHINGTON, Pa., Sept. 10, 2019 /PRNewswire/ -- Ditech Holding Corporation ("Ditech Holding" or, together with its subsidiaries, the "Company") (OTC Pink: DHCPQ) announced today that it has reached a consensual resolution with the Consumer Creditors' Committee regarding its objections to the Company's Amended Joint Plan of Reorganization (the "Plan"). Ditech Holding will modify the Plan to address issues raised by the Court regarding the handling of certain consumer claims and satisfy a number of legal and evidentiary requirements. The Company intends to seek Court approval of the Plan, including its previously announced asset purchase agreement with New Residential Investment Corp. ("New Residential") and stock and asset purchase agreement with Mortgage Assets Management, LLC and its affiliate (collectively, "Mortgage Assets"), at a hearing currently scheduled for Wednesday, September 25, 2019.
"We are pleased to have reached this consensual resolution with the Consumer Creditors Committee, which addresses the issues raised by the Court and represents an important step toward completing the court-supervised sale process," said Thomas F. Marano, Chairman of the Board and Chief Executive Officer of Ditech Holding. "We continue to believe these value-maximizing transactions are in the best interest of all our stakeholders, including homeowners, and we look forward to submitting our amended Plan to the Court. I would like to thank all of our employees for their continued hard work and commitment to supporting our customers throughout this process."
Until the transactions close, Ditech Financial LLC and Reverse Mortgage Solutions, Inc. ("RMS") will continue to operate as part of Ditech Holding and will continue serving customers as normal.