Mat Ishbia ends UWMC share sale plan after boosting public float

"SFS’s ownership stake declined from roughly 90% at the end of 2024 to about 83% at the end of 2025. A registration statement tied to the 10b5-1 plan allowed SFS to resell up to 150 million shares of UWMC Class A common stock. In a statement, the company said SFS believes it has done its part as the controlling shareholder to respond to the requests of the investment community by selling shares without regard to the stock price since June 2025."

"SFS terminated the plan effective Friday, the first day of UWM's open trading window since December 2025. The company, which went public through a special purpose acquisition company (SPAC) merger in 2021, faced pressure from investors to broaden its shareholder base and improve stock liquidity. Increasing a company's public float typically attracts more institutional investors and improves trading dynamics, which can lower the cost of capital and increase flexibility for future transactions."

"The decision to halt the structured share-sale program comes weeks after UWM's unsuccessful all-stock bid for Two Harbors, which was also intended to improve UWMC's float. Pro forma estimates indicated the transaction could have increased UWMC's public float to roughly 500 million shares, up from about 268 million at the end of 2025. The acquisition also would have nearly doubled UWM's mortgage servicing rights portfolio by adding approximately $176 billion in unpaid principal balance, bringing the total close to $400 billion."

"With UWMC shares under pressure, UWM later revised its proposal to include a cash component valued at $12.50 per share while preserving the option for holders to elect 2.3328 UWMC shares per Two Harbors share. Rival CrossCountry Mortgage (CCM) currently has a competing bid valued at $12 per share. The shareholder vote is scheduled for May 19th."

SFS’s ownership stake in UWMC fell from about 90% at the end of 2024 to about 83% at the end of 2025. A registration statement linked to a 10b5-1 plan enabled SFS to resell up to 150 million shares of UWMC Class A common stock. SFS stated it believes it has fulfilled its role as controlling shareholder by selling shares without regard to stock price since June 2025. UWMC shares traded at $3.26, down 3.4% on Monday morning. SFS terminated the plan effective Friday, the first day of UWM’s open trading window since December 2025. The move followed investor pressure to broaden the shareholder base and improve liquidity, including an earlier all-stock bid for Two Harbors that would have increased public float and mortgage servicing rights. UWM later revised its bid to add cash valued at $12.50 per share, while preserving an election option for stock, and a rival bid from CrossCountry Mortgage valued at $12 per share remains. A shareholder vote is scheduled for May 19.

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