TWO

The past six months have been marked by significant activity impacting Two Harbors' stock price, driven by competing merger proposals. In December 2025, Two Harbors initially agreed to be acquired by UWM Holdings Corporation (UWMC), but this deal faced shareholder resistance. In March 2026, CrossCountry Mortgage, LLC submitted an unsolicited acquisition proposal, leading Two Harbors to terminate its agreement with UWMC and enter into an all-cash deal with CrossCountry Mortgage for $10.80 per share. UWMC then issued a new offer of $12 per share in May 2026, but CrossCountry Mortgage raised its offer to $12.00 per share, which the Two Harbors board approved and recommended to shareholders. The shareholder vote on the CrossCountry transaction is scheduled for May 19, 2026, with the transaction expected to close in the third quarter of 2026. Two Harbors reported Q1 2026 financial results, exceeding analyst expectations with an EPS of $0.34, and the stock price has increased by 19.5% since the beginning of 2026. Analyst ratings have trended cautious, with an average rating of "Hold" or "Reduce".