Mr Cooper Group Inc (COOP)

[JohnnyWinter]

Here's the deal.

Bonderman converted his preferred shares into commons to help WMI sell itself (yes , sell WMI, not WMB, WMI as in the whole package). By doing so, he gave up his make-whole provision which means he was willing to accept less than $9.25/share for WMI in its entirety. He did this because he knew WaMu was in trouble, and he atleast wanted to get something. By doing this, it was also like him saying that YES, the bank was worth less than $9.25 per share, because the bank didn't make up all of WMI's value.

$9.25 per share x 1.7 billion shares = $15,725,000,000.00

So, if Bonderman since Bonderman willing to give up his make-whole clause, he not only felt that WMI was worth less than $9.25/share, but he also felt that the bank was worth less than 9.25/share.

People can spin this situation however they'd like, but once the bank went into receivership, bidders were only bidding on WMB and not WMI. So if THJC decides that the BANK alone was worth $10 -12B (which is less than what Bonderman thought WMI in its entirety was worth), all of that money would go to the BANK CREDITORS (bond holders and noteholders of the BANK), and none of that money would go to WMI shareholders. WMI is a small creditor of WMB, per filings, so when more is paid for the bank, WMI will only see a small fraction of that money.