Invesco Mortgage Capital (NYSE:IVR) says in an update on its financing counterparties that those parties
sold $3.5B in pledged securities as of April 1.
The company and affiliates had notified the counterparties on March 23 that they weren't in a position to fund margin calls, and wouldn't be in the near term. And it received notification from several counterparties of alleged default, and the sale of pledged securities.
Invesco estimates it's received (or has a right to receive) $125M in cash proceeds from those transactions.
Since April 1, additional counterparties have sold pledged securities, Invesco says.
Shares are up 6.7% after hours; they rose 37.1% today.