how big this deal that Edens talked about could be for NCT. Could they do something really big instead of doing the piece meal stuff they have been doing? 500M? Use stock and debt. Maybe a private placement for the stock at higher than market and maybe a private placement for debt. Lots of money looking for yield. The anticipation!!!
Well, they have an agreement to buy for 170M 65% of the MSR on 63B of mortgages. Ally has a few hundred billion mortgages servicing. So, it is quite possible that NCT could invest 500m to get XX% of the MSR of XXXB of mortgages. Of course, most likely it is in excess of 170M but less than 500M. In either case, it seems like alot of cash flow!