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UWM Holdings Shares Fall Pre-Bell Amid Swing to Q2 Adjusted Loss
UWM Holdings (UWMC) shares fell more than 18% in recent premarket activity Thursday after the company swung to an adjusted loss in Q2.The company reported late Wednesday an adjusted Q2 loss of $0.23 per diluted share, swinging from an adjusted EPS of $0.16 a year earlier.Analysts polled by FactSet expected adjusted EPS of $0.07.Revenue for the quarter ended June 30 was $888 million, up from $758.7 million a year ago. Analysts expected $727.5 million.Separately, UWM Holdings secured a $2.05 billion investment under a strategic capital partnership with SFS Group Capital and Oaktree Capital Management, according to a Wednesday statement.Preferred equity and warrants were issued for the initial investment, UWM said.The company also plans to launch a $400 million rights offering to class A shareholders, backed by the two new investors, if needed, according to the statement.In addition, UWM said it will suspend common dividends to prioritize debt reduction and boost its balance sheet.Price: $1.50, Change: $-0.34, Percent Change: -18.48%
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