MILL VALLEY, Calif., March 19, 2020 /PRNewswire/ -- Redwood Trust, Inc. (NYSE: RWT), a leading innovator in housing credit investing,
today announced that it has closed its 106th Sequoia securitization, SEMT 2020-3, backed by a $637
million pool of Redwood Select jumbo loans. Separately, the company also closed a transaction to extend the
maturity of a $400 million warehouse financing facility scheduled to mature at the end of March 2020, to a new
maturity date in March 2021.
In a presentation published on the company's website on Tuesday, March 17, 2020, Redwood disclosed that it had
priced this $637 million residential securitization. The company intends to use the net proceeds it received at
closing to reduce borrowings under its existing residential warehouse facilities. Redwood estimates this
transaction will increase the financing capacity under its warehouse facilities to approximately 60% of its
maximum aggregate financing capacity.
In the same presentation, Redwood disclosed that it expected to renew this warehouse financing facility for jumbo
residential mortgage loans. As of the close of business on March 18, 2020, Redwood had $244 million of
capacity available under this uncommitted warehouse line. The renewal extends the maturity of this facility to
March 26, 2021 on similar terms. The company plans to continue to use the facility as a warehouse line for jumbo
loans held for sale in its Residential Lending business segment.
Additional Resources
About Redwood Trust
Redwood Trust, Inc. (NYSE: RWT) is a specialty finance company focused on making
credit-sensitive investments in single-family residential and multifamily mortgages and related assets and
engaging in mortgage banking activities. Our goal is to provide attractive returns to shareholders through a
stable and growing stream of earnings and dividends, as well as through capital appreciation. Redwood Trust was
established in 1994, is internally managed, and structured as a real estate investment trust ("REIT") for tax
purposes. For more information about Redwood, please visit our website at www.redwoodtrust.com.
Forward-Looking Statements: This press release contains forward-looking statements within the meaning of the
safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including statements related
to Redwood's planned use for the warehouse financing facility. Forward-looking statements involve numerous
risks and uncertainties. Our actual results may differ from our beliefs, expectations, estimates, and
projections and, consequently, you should not rely on these forward-looking statements as predictions of
future events. Forward-looking statements are not historical in nature and can be identified by words such
as "anticipate," "estimate," "will," "should," "expect," "believe," "intend," "seek," "plan" and similar
expressions or their negative forms, or by references to strategy, plans, or intentions. These
forward-looking statements are subject to risks and uncertainties, including, among other things, those
described in our Annual Report on Form 10-K for the year ended December 31, 2019 and subsequent Quarterly
Reports on Form 10-Q under the caption "Risk Factors." Other risks, uncertainties, and factors that could
cause actual results to differ materially from those projected may be described from time to time in reports
we file with the Securities and Exchange Commission, including reports on Forms 10-Q and 8-K. We undertake
no obligation to update or revise any forward-looking statements, whether as a result of new information,
future events, or otherwise.
CONTACT
Lisa Hartman – SVP, Head of Investor Relations
Phone: 866-269-4976
Email: investorrelations@redwoodtrust.com
View original content to download
multimedia:http://www.prnewswire.com/news-releases/redwood-trust-closes-106th-securitization-backed-by-residential-jumbo-loans-and-closes-transaction-to-extend-400-million-debt-facility-to-2021-301027202.html
SOURCE Redwood Trust, Inc.