Invesco Mortgage Capital Inc (IVR)

[getmoreshares]

got it-HERE: Invesco Mortgage sinks after counterparties sell $1.9B of pledged securities

Apr. 20, 2020 10:01 AM ET|About: Invesco Mortgage Capital Inc. (IVR)|By: Liz Kiesche, SA News Editor
Invesco Mortgage (NYSE:IVR) drops 23% after the mortgage REIT disclosed late Friday that several financing counterparties sold pledged securities with an aggregate market value of ~$1.9B between April 1, 2020 and April 14, 2020.

Estimates book value per diluted common share of $2.75-$3.75; that's down from $16.39 at Dec. 31, 2019.

IVR estimates it has received or has the right to receive ~$71M of net cash proceeds from the sales.

Continues talks with financing counterparties with regard to a return to daily margining; says it made significant progress with counterparties representing a significant majority of its remaining assets related to any default event and a return to daily posting of margin under terms acceptable to IVR and the financing counterparty.

IVR also said it reduced its repurchase agreement obligations to ~$1.4B and its secured loans to ~$1.35B as of April 15.

Has cash balance of $756M, $523M of which is restricted.

Has ~$196M due from counterparties for cash posted as collateral for repurchase agreements.

Previously: Invesco says counterparties have sold $3.5B in pledged securities (April 7)