UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM
CURRENT REPORT
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| Item 1.01. | Entry into a Material Definitive Agreement. |
As previously disclosed, on September 28, 2022, Radian Group Inc. (“Company”) entered into a Guaranty Agreement (“Guaranty Agreement”) in favor of Bank of Montreal, a Canadian Chartered bank acting through its Chicago Branch (“BMO”) to guaranty the obligations of the Company’s subsidiary Radian Mortgage Capital LLC (“RMC”) in connection with a mortgage loan repurchase facility that RMC entered into with BMO pursuant to a Master Repurchase Agreement dated September 28, 2022 (“MRA”). The MRA is used to finance RMC’s acquisition of residential mortgage loans from correspondent lenders, subject to market conditions, with a view towards the later securitization and/or direct sale of the loans to mortgage investors. The MRA is uncommitted, and BMO is under no obligation to fund the purchase of any residential mortgage loan assets under this facility.
Also, as previously disclosed, on April 17, 2023, RMC, the Company and BMO entered into Amendment No. 1 ( “Amendment No. 1”) to amend the MRA, pursuant to which RMC voluntarily reduced the size of the mortgage loan purchase facility to $150 million. The Company entered into Amendment No. 1 solely for the purpose of reaffirming its guaranty of RMC’s obligations under the MRA.
On September 27, 2023, RMC, the Company and BMO entered into Amendment No. 2 to the MRA to extend the MRA termination date from September 27, 2023 to September 25, 2024. Other than the foregoing, the material terms of the MRA and Guaranty Agreement remain unchanged. The Company entered into Amendment No. 2 solely for the purpose of reaffirming its guaranty of RMC’s obligations under the amended MRA.
The foregoing summary of the amended MRA is qualified in its entirety by reference to the full text of the amended MRA which is filed as Exhibit A to the Amendment that is filed as Exhibit 10.1 to this Current Report on Form 8-K and is incorporated herein by reference.
| Item 9.01. | Financial Statements and Exhibits. |
(d) Exhibits.
| 10.1 | Amendment No. 2 to Master Repurchase Agreement, dated as of September 27, 2023, between Radian Mortgage Capital LLC, Radian Group Inc. and Bank of Montreal including a fully conformed copy of the Amended MRA as Exhibit A. | |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| RADIAN GROUP INC. | ||||||
| (Registrant) | ||||||
| Date: September 29, 2023 | ||||||
| By: | /s/ Liane Browne | |||||
| Liane Browne | ||||||
| Deputy General Counsel | ||||||
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