Ccm Enters Bidding War For Two Harbors, Faces Rival Cash Offer

Cleveland-based CrossCountry Mortgage (CCM) has entered the bidding battle for Two Harbors Investment Corp., facing competition not only from UWM Holdings Corp. — which already has a signed agreement — but also from another unsolicited bidder offering a higher all-cash price.

Market speculation that CCM was behind a $10.70-per-share cash offer surfaced late last week, shortly after Two Harbors disclosed it had received an alternative proposal. CCM’s bid values the company at roughly $1.12 billion and includes a commitment to cover the $25.4 million termination fee owed to UWM if the existing merger agreement is scrapped. 

But a separate bidder has since emerged with a $10.75-per-share cash offer, also agreeing to pay the termination fee. 

UWM now has until the end of Wednesday to respond, with negotiations ongoing. Its current proposal offers Two Harbors shareholders 2.3328 shares of UWMC Class A common stock for each share of Two. It implies a value of $11.94 based on UWMC’s Dec. 16 closing price and a total deal value of about $1.3 billion.

“The UWMC merger agreement remains in effect, and there can be no assurance that this process will result in TWO entering into an amended agreement with UWMC, terminating the UWMC merger agreement, or entering into a definitive agreement with CCM or any other party,” Two said in a statement on Monday morning.

A shareholder vote on the UWM deal, initially scheduled for last week but postponed due to a lack of quorum, has been rescheduled for April 7.

For both UWM and CCM, acquiring Two Harbors would significantly boost their servicing footprint. The REIT, which focuses on mortgage servicing rights (MSRs), operates RoundPoint Mortgage Servicing, a major conventional loan servicer. 

According to Inside Mortgage Finance, the deal could elevate either buyer to the eighth-largest U.S. mortgage servicer by owned portfolio.

Until early 2026, CCM had largely avoided M&A, focusing instead on organic growth and expanding its servicing platform. In 2025, the company acquired $72 billion in MSRs, bringing its portfolio close to $200 billion. A signal of a change was the recent acquisition of Summit Funding.

A successful acquisition of Two Harbors would propel CCM from 14th to 8th place in servicing rankings, with its portfolio reaching roughly $350 billion. For UWM, the transaction would nearly double its servicing book to about $400 billion, also positioning it among the top eight servicers.

Houlihan Lokey Capital Inc. is serving as financial advisor to Two Harbors, with Jones Day acting as legal counsel.

A spokesperson for UWM wrote to HousingWire, “We have proposed revised terms and continue to be in discussions with TWO. We will stay disciplined in our approach.”

CCM declined to comment.