LoanDepot Seeks NYSE IPO Listing Amid Mortgage Boom

In its latest filing with the Securities and Exchange Commission on Monday, mortgage lending company LoanDepot Inc disclosed its plans to go public with a listing on the New York Stock Exchange under the symbol LDI.

What Happened: The recently filed preliminary prospectus does not mention details about the number of shares and the IPO price. In September last year, Bloomberg quoted sources that estimated LoanDepot’s valuation in the range of $12 billion to $15 billion.

Goldman Sachs, Bank of America Securities, and Credit Suisse are among the lead underwriters.

As per the statistics cited by Bloomberg, LoanDepot has a 2.6% market share of the $11 trillion mortgage market and ranks second among non-bank retail mortgage originator. LoanDepot generated $1.47 billion in net income from the first nine months of last year.

Why Does It Matter: Many factors like vaccine distribution programs and the economic stimulus is gradually opening up the American economy. The U.S. housing market is also witnessing a rebound due to the low mortgage rates, Bloomberg claims.

The home loan and refinancing service provider had earlier filed a draft registration statement for the IPO in November 2020. It was also seeking a public listing in 2015 but backed out of the IPO after shares of market peer LendingClub Corp (NYSE: LC) tanked, says Bloomberg.

Mortgage lenders with recent IPOs include Guild Holdings Co.GHLD and Quicken Loans’ parent company Rocket Companies Inc RKT.