Two Harbors Investment Corp (NYSE: TWO) recently announced a business update, including the resolution of litigation and its third-quarter 2025 common and preferred stock dividends. The company has entered into a settlement agreement, resolving all claims in its litigation with PRCM Advisers LLC, Pine River Capital Management L.P., and Pine River Domestic Management L.P. As part of the settlement, Two will make a one-time cash payment of $375 million to Pine River.
Two estimates its book value was approximately $12.73 per common share as of August 15, 2025, compared to $12.14 per common share as of June 30, 2025, representing a total economic return of approximately 4.9%. After adjusting for the settlement payment, the company estimates its book value as of August 15, 2025, would be approximately $11.06 per common share.
In the third quarter, Two signed a term sheet with a new subservicing client, which will increase the company’s third-party subservicing business to $31 billion unpaid principal balance, or approximately 138,000 loans.
The board of directors declared a dividend of $0.34 per share of common stock for the third quarter of 2025, payable on October 29, 2025, to common stockholders of record at the close of business on October 3, 2025. Additionally, Two declared preferred stock dividends for the third quarter of 2025 as follows: 8.125% Series A Cumulative Redeemable Preferred Stock: $0.50781 per share 7.625% Series B Cumulative Redeemable Preferred Stock: $0.47656 per share * 7.25% Series C Cumulative Redeemable Preferred Stock: $0.61250 per share
The Series A, Series B, and Series C preferred dividends are payable on October 27, 2025, to the applicable preferred stockholders of record at the close of business on October 10, 2025. As a result of these announcements, the company's shares have moved 0.15% on the market, and are now trading at a price of $10.085. For the full picture, make sure to review TWO HARBORS INVESTMENT CORP.'s 8-K report.
