Walter Investment Management Corp. is no more.
The company announced Friday that it successfully completed its financial restructuring plan, which eliminated $800 million in debt, and emerged from Chapter 11 bankruptcy.
With the bankruptcy now in the rearview mirror, Walter Investment is changing its name to Ditech Holding Corp., adopting the name of its prominent subsidiary Ditech Financial.
Last week, Walter disclosed in a filing with the Securities and Exchange Commission that it planned to change its name to Ditech Holding Corp. upon its exit from bankruptcy.
That disclosure came as part of an announcement that the company’s emergence from bankruptcy would be delayed.
Back in December, Walter announced that it planned to file for Chapter 11 bankruptcy as part of a prepackaged restructuring plan to cut its debt by $800 million.
When the company announced that the court approved its bankruptcy plan, it said that it expected to exit bankruptcy at the end of January, but as the month ended, Walter said that it would be in bankruptcy for a little while longer, until at least Feb. 2, 2018.
Earlier this week, Walter said that it planned to exit bankruptcy on February 9, and that’s exactly what the company did.
According to George Awad, who was previously chairman of the company’s board and is continuing as a board member in the newly restructured company, Ditech is now on much firmer footing.
“We are emerging from this process with a new name and an even stronger focus and ability to serve our customers,” Awad said in a statement.
“Ditech Holding is beginning its next chapter with increased financial flexibility and continued momentum in our efforts to transform our business,” Awad continued. “We are excited about the prospects of our core business and are confident that we are well positioned to drive profitable growth and create value for our shareholders.”
According to the company, the name Ditech Holding was chosen because it “reflects the company’s focus on its strong core business and its commitment to serving customers.”
Going forward, the company will continue to serve customers through its subsidiaries, Ditech Financial and Reverse Mortgage Solutions.
“The company remains committed to enhancing the customer experience through the growth of its origination and servicing businesses and by focusing on new technology, innovation, and other areas that are critical to the company’s success,” Ditech said in a release. “With an industry leading team, the company expects demand for its quality products, services and single source convenience to grow as it builds on its legacy as a customer-driven organization.”
The company will begin trading new common stock on the New York Stock Exchange under a new symbol, “DHCP,” beginning Monday.
“We would like to thank all of our employees for their dedication throughout this process. They have been and will continue to be the ultimate driver of our success,” Awad said.
“We also thank our customers and other business partners for their support throughout this process,” Awad concluded. “Looking ahead, we are committed as ever to our mission of enabling the dream of homeownership for our customers and caring for them throughout their homeownership lifecycle.”