Keefe, Bruyette & Woods Provides Color on OCN Acquisition

According to a recent report from Keefe, Bruyette & Woods, Ocwen Financial OCN announced the acquisition of Litton from Goldman Sachs yesterday morning. Although Keefe, Bruyette & Woods are leaving estimates unchanged including a $13.00 price target, the company expects $0.35-$0.40 accretion in 2012. In the report, Keefe, Bruyette & Woods said, "Litton's portfolio has a UPB of $41.2 billion, and OCN will take on $2.47 billion of servicing advances. The deal is expected to close in the fall." OCN closed yesterday at $12.30.