Rithm Announces Significant Long-Term Minority Equity Ownership in Valon and Plan to Bring Valon’s Technology to Over 4 Million Newrez Homeowners
Partnership Brings Together Rithm’s Asset Management Expertise, Newrez’s Proven Leadership in Mortgage Servicing, and Valon’s Best-in-Class Technology Which is Positioned to Modernize the $13 Trillion Mortgage Servicing Industry
Rithm Capital Corp. (“Rithm” or “Rithm Capital”), a global alternative asset manager, today announced it is deepening its partnership with Valon Technologies (“Valon”), an innovative technology leader that has created an AI-native operating system for mortgage servicing, ValonOS.
Rithm was one of Valon’s earliest investors and has supported the company from its inception, helping fuel its growth and scale. Building on this long-term partnership, Newrez—one of the nation’s largest mortgage servicers and a Rithm company—will deploy ValonOS to enhance servicing for over 4 million homeowners. This commitment underscores Rithm’s confidence in Valon’s vision and enables Newrez to deliver a more seamless customer experience and reduce its cost-to-service.
“This strategic partnership with Valon combines Rithm’s deep investment insight, Newrez’s proven leadership, and Valon’s transformative technology to modernize the $13 trillion mortgage servicing industry,” said Michael Nierenberg, CEO of Rithm. “Early on, Rithm recognized Valon’s potential to redefine mortgage servicing, and we are now doubling down on that conviction. We believe ValonOS will bring real operational efficiency, scalability, and innovation to Newrez and its clients. This is exactly the kind of early-stage opportunity we look for—where technology and vision can create outsized value over the long term.”
“Today marks an important milestone as we accelerate our growth and elevate the standard for innovation in the mortgage industry,” said Baron Silverstein, President of Newrez. “Newrez and Valon are aligned in our mission to deliver the most seamless and intuitive mortgage servicing experience possible. Powered by advanced technology and deep operational expertise, this partnership strengthens our platform and brings that ambition to life for Newrez’s over 4 million homeowners.”
“As one of Valon’s earliest investors, Rithm has long understood our vision to build the single source of truth operating system for regulated industries worldwide and has seen the technology evolve from an idea to mission critical and of strategic importance,” said Andrew Wang, CEO of Valon. “Newrez—one of the nation’s largest mortgage servicers and a leader in technology—is the ideal partner to help accelerate adoption and prove it works at scale for even the most regulated servicers. Together, we will deliver unprecedented efficiency, scalability, and customer experience to mortgage servicing, laying the foundation for broader transformation across financial services.”
Newrez will begin to transition to ValonOS in 2027.
To learn more about Rithm, please visit: www.rithmcap.com.
To learn more about Newrez, please visit: www.newrez.com.
This communication includes forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward looking statements reflect current expectations and projections about future events and are often identifiable by words such as “expect,” “anticipate,” “intend,” “plan,” “believe,” or similar terms. These statements are based on assumptions and are subject to risks and uncertainties—many of which are outside our control—that could cause actual results to differ materially from those expressed or implied. Factors that may cause such differences include regulatory approvals, execution and operational risks, and the risks described in the “Risk Factors” section of Rithm’s most recent Annual Report on Form 10 K, Quarterly Reports on Form 10 Q, and other filings with the SEC, available at www.sec.gov. The list of factors above is not exhaustive, and additional risks may also affect actual results. Forward looking statements speak only as of the date they are made, and neither Rithm, Newrez, nor Valon undertakes any obligation to update or revise them.
