Radian Group Inc. (NYSE: RDN) today announced the pricing of $484 million aggregate principal amount of 12.5-year mortgage insurance-linked notes (ILNs) issued by Eagle Re 2021-2 Ltd. (Eagle Re), a newly-formed Bermuda special purpose insurer that is not a subsidiary or affiliate of Radian Guaranty Inc. The notes were offered for sale to eligible third-party capital markets investors in an unregistered private offering.

In connection with the transaction, Radian Group’s wholly owned subsidiary, Radian Guaranty, will receive $484 million of fully collateralized excess of loss reinsurance protection from Eagle Re at closing, covering an existing portfolio of mortgage insurance policies written predominantly from January 1, 2021 through and including July 31, 2021. The excess of loss reinsurance coverage provides Radian Guaranty protection for aggregate losses on subject loans beginning at a 2.25% cumulative claim rate threshold and continuing up to an eventual 6.75% aggregate detachment level. Radian Guaranty expects to receive initial PMIERs credit for the portion of coverage attaching within the current risk-based required asset charge on subject loans and additional benefit in the future if the PMIERs requirement on subject loans increases, all subject to GSE approval. The offering is expected to close on November 9, 2021, subject to customary conditions.

Eagle Re has funded its reinsurance obligations by issuing five classes of ILNs with a 12.5-year maturity and 7-year call option to eligible third-party capital markets investors in an unregistered private offering. The ILNs are non-recourse to Radian Group or its subsidiaries and affiliates.

The ILNs issued by Eagle Re consist of the following five classes:

• $118,341,000 Class M-1A Notes with a coupon equal to one-month SOFR plus 155 basis points
• $102,204,000 Class M-1B Notes with a coupon equal to one-month SOFR plus 205 basis points
• $145,236,000 Class M-1C Notes with a coupon equal to one-month SOFR plus 345 basis points
• $91,445,000 Class M-2 Notes with a coupon equal to one-month SOFR plus 425 basis points
• $26,896,000 Class B-1 Notes with a coupon equal to one-month SOFR plus 500 basis points

The securities described herein have not been and will not be registered under the U.S. Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. This press release shall not constitute an offer to sell or a solicitation of an offer to buy any of the aforementioned securities and shall not constitute an offer, solicitation or sale in any state or jurisdiction in which, or to any person to whom, such an offer, solicitation or sale would be unlawful.

About Radian

Radian Group Inc. (NYSE: RDN) is ensuring the American dream of homeownership responsibly and sustainably through products and services that include industry-leading mortgage insurance and a comprehensive suite of mortgage, risk, title, valuation, asset management and other real estate services. We are powered by technology, informed by data and driven to deliver new and better ways to transact and manage risk. Visit www.radian.com to learn more about how Radian is shaping the future of mortgage and real estate services.

FORWARD-LOOKING STATEMENTS

All statements in this press release that address events, developments or results that we expect or anticipate may occur in the future are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Exchange Act and the U.S. Private Securities Litigation Reform Act of 1995. In most cases, forward-looking statements may be identified by words such as “anticipate,” “may,” “will,” “could,” “should,” “would,” “expect,” “intend,” “plan,” “goal,” “contemplate,” “believe,” “estimate,” “predict,” “project,” “potential,” “continue,” “seek,” “strategy,” “future,” “likely” or the negative or other variations on these words and other similar expressions. These statements, which may include, without limitation, projections regarding our future performance and financial condition, are made on the basis of management’s current views and assumptions with respect to future events. Any forward-looking statement is not a guarantee of future performance and actual results could differ materially from those contained in the forward-looking statement. These statements speak only as of the date they were made, and we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. We operate in a changing environment where new risks emerge from time to time and it is not possible for us to predict all risks that may affect us. For more information regarding these risks and uncertainties as well as other additional risks that we face, you should refer to the Risk Factors detailed in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2020, and subsequent reports filed from time to time with the U.S. Securities and Exchange Commission.

For more information regarding these risks and uncertainties as well as certain additional risks that we face, you should refer to “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2020, and to subsequent reports and registration statements filed from time to time with the U.S. Securities and Exchange Commission. We caution you not to place undue reliance on these forward-looking statements, which are current only as of the date on which we issued this press release. We do not intend to, and we disclaim any duty or obligation to, update or revise any forward-looking statements to reflect new information or future events or for any other reason.

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