UWM Holding Announces Definitive Merger with Two Harbors

UWM Holding ( (UWMC) ) has issued an announcement.

On December 17, 2025, UWM Holdings Corporation entered into a definitive merger agreement under which Two Harbors Investment Corp. will be merged into a wholly owned UWM subsidiary, with the subsidiary surviving as part of UWM’s consolidated group. Under the agreed terms, each share of Two Harbors common stock will be exchanged for 2.3328 shares of newly issued UWM Class A common stock plus cash in lieu of fractional shares, while each series of Two Harbors preferred stock will convert on a one-for-one basis into corresponding series of UWM preferred stock, and outstanding Two Harbors equity awards and restricted stock will be converted into the same merger consideration on specified vesting and performance assumptions. Completion of the transaction is subject to customary conditions, including approval by Two Harbors shareholders, antitrust clearance, effectiveness of a UWM registration statement, NYSE listing of the new UWM shares, tax opinions confirming the deal qualifies as a reorganization and that Two Harbors has maintained REIT status, absence of material adverse effects, and specified termination rights and fees, including a $25.35 million breakup fee payable by Two Harbors in certain circumstances. The boards of both companies unanimously approved the deal and Two Harbors’ board has recommended shareholder approval, and the agreement also provides for post-closing employee protections and the appointment of a Two Harbors designee to an expanded UWM board, underscoring the strategic integration of the acquired business and governance alignment between the companies.

The most recent analyst rating on (UWMC) stock is a Hold with a $5.00 price target. To see the full list of analyst forecasts on UWM Holding stock, see the UWMC Stock Forecast page.

Spark’s Take on UWMC Stock

According to Spark, TipRanks’ AI Analyst, UWMC is a Neutral.

UWM’s overall stock score reflects significant financial challenges, including high leverage and negative cash flows, which weigh heavily on the score. However, strong operational performance and strategic initiatives, such as AI integration and a major merger, provide potential for future growth. The high dividend yield is attractive, but profitability concerns remain a risk.

To see Spark’s full report on UWMC stock, click here.

More about UWM Holding

UWM Holdings Corporation operates in the financial services industry as a mortgage-focused company, issuing Class A common stock and multiple series of preferred stock that trade on the New York Stock Exchange, and using acquisition vehicles such as wholly owned subsidiaries to expand its holdings and corporate structure.

Average Trading Volume: 10,095,245

Technical Sentiment Signal: Sell

Current Market Cap: $7.76B

For a thorough assessment of UWMC stock, go to TipRanks’ Stock Analysis page.