Company: RITM-PC
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0001556593-25-000016
Chunk: 85

Company: Rithm Capital Corp.
Filing Date: 2025-05-02
Form: 10-Q
Item: Item 8
Chunk 85
---
 (9.2%)Notes receivable financing378,721 5.4%Loans receivable17,717 17.5%Total$830,562 December 31, 2024Notes receivable$393,786 9.0% - 12.5% (9.3%)Notes receivable financing377,227 5.7%Loans receivable31,580 18.5%Total$802,593 Equity Investments at Fair ValueThe Company holds a 70% interest in a limited liability company (the “Credit Risk Transfer LLC”), structured as a credit risk transfer transaction, which directly or indirectly holds and finances exposures to residential mortgage loans through warehouse facilities and repurchase agreements. This equity investment is measured at fair value under the fair value option election. The investment is valued using an internal discounted cash flow pricing model to estimate the fair value of the investment. As of March 31, 2025 and December 31, 2024, the fair value of the investment was $194.4 million. As the discount rates of 11.3% and 11.8% used to estimate the fair value of the investment as of March 31, 2025 and December 31, 2024, respectively, were significant unobservable inputs, this investment was classified as Level 3 in the fair value hierarchy. Consolidated CFE - FundsSculptor’s consolidated structured alternative investment solution, a CFE, holds investments in funds measured at fair value using the NAV per share of the underlying funds, as a practical expedient.The following table summarizes the fair value of the investments by fund type and ability to redeem such investments:March 31, 2025December 31, 2024Fund Type(A)Fair ValueRedemption FrequencyRedemption Notice PeriodFair ValueRedemption FrequencyRedemption Notice PeriodOpen-ended$190,799 Monthly – Annually(B)30 days – 90 days(B)$172,409 Monthly - Annually(B)30 days - 90 days(B)Close-ended165,239 None(C)N/A160,697 None(C)N/ATotal$356,038 $333,106 (A)The structured alternative investment solution invests in both open-ended and close-ended funds. The investments in each fund may represent investments in a particular tranche of such fund subject to different withdrawal rights.(B)$46.0 million of investments are subject to an initial lock-up period of three