More on New Residential's purchase from OneMain

• The SpringCastle JV was formed in 2013 to purchase a consumer loan portfolio from HSBC.
• OneMain Holdings (NYSE:OMF) CEO Jay Levine notes the sale monetizes what has been an enormously successful investment, cuts balance sheet leverage, and significantly adds to capital. He anticipates minimal impact on near-term earnings, and the company will continue to make money servicing the portfolio.
• Fans of New Residential (NYSE:NRZ) will remember this deal as being a home run for the company.
• Previously: New Residential ups stake in off-balance sheet JV (April 1)
• Now read: Here Is Why I Am Going To Double Down On 16% Yielding New Residential Investment Again (March 28)