Mr Cooper Group Inc (COOP)

[Evintos]

It's possible but not likely. It will also be subject to IRC 269 scrutiny.

The issue largely depends on whether or not the IRS sees the transaction as a purposeful attempt to avoid taxation.

Seeing as how WMIH Corp has NOLs in the billions, I can't imagine the IRS overlooking any company trying to acquire WMIH NOLs by any means. Maybe if the NOLs were in the low millions or hundreds of thousands, but not billions.

Not to mention - WMIH Corp is a shell with NOL's. Another company that will acquire WMIH Corp is obviously doing it for the NOLs since WMIH Corp has no operating business (not counting businesses in run off mode).

Hypothetically lets say the IRS overlooked the purposeful tax avoidance or they couldn't prove (legally) that it was done on purpose, the change in control that would likely occur in this event would place annual restrictions on the use of NOLs.

Presently, there should be no limitations on the use of NOLs by WMIH Corp itself.