Prospectus Supplement No. 4

Filed Pursuant to Rule 424(b)(7)

File No. 333-119698

 

PROSPECTUS SUPPLEMENT NO. 4

(To Prospectus dated September 20, 2005)

 

$175,000,000

 

LOGO

 

Ocwen Financial Corporation

3.25% Contingent Convertible Senior Unsecured Notes due 2024 and Shares

of Common Stock Issuable upon Conversion Thereof

 

This prospectus supplement supplements our prospectus dated September 20, 2005, as supplemented on February 8, 2006, March 16, 2006 and May 5, 2006, relating to the offer and sale from time to time by certain of our securityholders of up to $175,000,000 aggregate principal amount of our 3.25% Contingent Convertible Senior Unsecured Notes Due 2024 and the Shares of Common Stock issuable upon conversion of the notes (the “Shares”). We are not selling any notes or Shares and therefore will not receive any proceeds from this offering.

 

This prospectus supplement should be read in conjunction with, and may not be delivered or utilized without, the prospectus and previous prospectus supplements. This prospectus supplement is qualified by reference to the prospectus and previous prospectus supplements, except to the extent that the information in this prospectus supplement supersedes the information contained in the prospectus or the previous prospectus supplements.

 

The following table sets forth information, as of the date of this prospectus supplement, relating to the beneficial ownership of the notes and Shares by each selling securityholder. The selling securityholders may have sold, transferred or otherwise disposed of all or any portion of their notes or Shares or acquired additional notes since the date on which they provided this information to us.

 

The table below amends and restates the table of selling securityholders contained under the heading “Selling Securityholders” in the prospectus and previous prospectus supplements.

 

Name

    Principal Amount
of Notes That
May Be Offered (1)
    Percentage
of Notes
Outstanding
    Common
Stock
Owned Prior
to the
Offering
    Common
Stock That
May Be
Offered
    Percentage
of Common
Stock
Outstanding

Acuity Master Fund Ltd.

    $ 2,140,000    1.22%    175,842    175,842    *

ADAR Investment Fund Ltd.

    $ 6,500,000    3.71%    534,100    534,100    *

Akela Capital Master Fund, Ltd.

    $ 5,500,000    3.14%    451,931    451,931    *

Alexandra Global Master Fund Ltd

    $ 7,500,000    4.29%    616,269    616,269    *

Auspicis Ltd

    $ 230,000    *    18,898    18,898    *

Bancroft Convertible Fund, Inc.

    $ 1,500,000    *    123,253    123,253    *

Bernische Lehrerversicher-ungskasse

    $ 1,000,000    *    82,169    82,169    *

BNP Paribas Equity Strategies, SNC

    $ 6,328,000    3.61%    519,967    519,967    *

BTOP Multi Strategy Master Portfolio Ltd

    $ 2,000,000    *    164,338    164,338    *

Calamos Market Neutral Fund – Calamos Investment Trust

    $ 1,500,000    *    123,253    123,253    *

Name

    Principal Amount
of Notes That
May Be Offered (1)
    Percentage
of Notes
Outstanding
    Common
Stock
Owned Prior
to the
Offering
    Common
Stock That
May Be
Offered
    Percentage
of Common
Stock
Outstanding

Citigroup Global Markets Inc.

    $ 9,190,000    5.25%    755,135    755,135    1.20%

CNH CA Master Account, L.P.

    $ 2,000,000    1.14%    164,338    164,338    *

Coastal Convertibles Ltd.

    $ 1,950,000    1.11%    160,230    160,230    *

Context Convertible Arbitrage Fund, LP

    $ 575,000    *    47,247    47,247    *

Context Convertible Arbitrage Offshore, LTD

    $ 1,825,000    *    149,958    149,958    *

CooperNeff Convertible Strategies (Cayman) Master Fund, LP

    $ 5,250,000    3.00%    431,388    431,388    *

CQS Convertible and Quantitative Strategies Master Fund Limited

    $ 1,000,000    *    82,169    82,169    *

Credit Industriel D’Alsace Lorraine

    $ 4,000,000    2.29%    328,677    328,677    *

D.E. Shaw Investment Group, L.L.C.

    $ 800,000    *    65,735    65,735    *

D.E. Shaw Valence Portfolios, L.L.C.

    $ 4,200,000    2.4%    345,111    345,111    *

Deam Convertible ARB

    $ 250,000    *    20,542    20,542    *

Deutsche Bank Securities Inc.

    $ 7,500,000    4.29%    616,269    616,269    *

Diaco Investments LP

    $ 560,000    *    46,014    46,014    *

The Drake Offshore Master Fund, Ltd.

    $ 13,000,000    7.43%    1,069,200    1,069,200    1.70%

Ellsworth Convertible Growth and Income Fund, Inc.

    $ 1,500,000    *    123,253    123,253    *

FrontPoint Convertible Arbitrage
Fund, L.P.

    $ 1,000,000    *    82,169    82,169    *

Global Bermuda Limited Partnership

    $ 600,000    *    49,301    49,301    *

Grace Convertible Arbitrage Fund, Ltd.

    $ 5,000,000    2.86%    410,846    410,846    *

Highbridge International LLC

    $ 1,500,000    *    123,253    123,253    *

ING Convertible Fund

    $ 3,870,000    2.21%    317,995    317,995    *

ING VP Convertible Fund

    $ 130,000    *    10,682    10,682    *

International Benchmarks Master Fund, Ltd.

    $ 1,400,000    *    115,037    115,037    *

Institutional Benchmarks Master Fund Ltd. c/o SSI Investment Management Inc.

    $ 222,000    *    18,241    18,241    *

Jefferies & Company, Inc. (2)

    $ 250,000    *    20,542    20,542    *

Jefferies Umbrella Fund Global Convertible Bonds (2)

    $ 2,050,000    1.17%    168,447    168,447    *

JMG Capital Partners, LP

    $ 850,000    *    69,843    69,843    *

JMG Triton Offshore Fund, Ltd.

    $ 1,650,000    *    135,579    135,579    *

JP Morgan Securities Inc.

    $ 5,000,000    2.86%    410,846    410,846    *

Kamuntins Street Master Fund, Ltd.

    $ 7,000,000    4.00%    575,185    575,185    *

KBC Financial Products USA Inc.

    $ 6,250,000    3.57%    513,558    513,558    *

Lakeshore International, Ltd.

    $ 2,400,000    1.37%    197,206    197,206    *

LDG Limited

    $ 123,000    *    10,106    10,106    *

Linden Capital LP

    $ 1,000,000    *    82,169    82,169     

Lyxor/Context Fund LTD

    $ 325,000    *    26,705    26,705    *

Lyxor/Convertible Arbitrage Fund Limited

    $ 924,000    *    75,924    75,924    *

Man Convertible Bond Master Fund, Ltd.

    $ 5,150,000    2.94%    423,171    423,171    *

 

S-2

Name

    Principal Amount
of Notes That
May Be Offered (1)
    Percentage
of Notes
Outstanding
    Common
Stock
Owned Prior
to the
Offering
    Common
Stock That
May Be
Offered
    Percentage
of Common
Stock
Outstanding

Mohican VCA Master Fund, Ltd.

    $ 1,160,000    *    95,316    95,316    *

MSS Convertible Arbitrage 1
c/o TQA Investors, LLC

    $ 6,000    *    493    493    *

National Bank of Canada

    $ 275,000    *    22,596    22,596    *

National Bank of Canada c/o Putnam Lovell NBF Securities Inc.

    $ 2,500,000    1.43%    205,423    205,423    *

Nisswa Master Fund Ltd.

    $ 1,500,000    *    123,253    123,253    *

Pensionkasse Der Antalis AG

    $ 50,000    *    4,108    4,108    *

Pensionkasse Der EMS-Chemie AG

    $ 60,000    *    4,930    4,930    *

Pensionkasse Der EMS-Dottikon AG

    $ 100,000    *    8,216    8,216    *

Pensionkasse Der Rockwell
Automation AG

    $ 60,000    *    4,930    4,930    *

Pensionkasse Pluess-Staufer AG

    $ 50,000    *    4,108    4,108    *

Pensionkasse Vantico

    $ 100,000    *    8,216    8,216    *

Personal Vorsorge Der PV Promea

    $ 170,000    *    13,968    13,968    *

Personalfuersorgestiftung Der Gebaudever-sicherung Des Katons Bern

    $ 180,000    *    14,790    14,790    *

Polaris Vega Fund L.P.

    $ 6,600,000    3.77%    542,317    542,317    *

Privilege Portfolio SICAV

    $ 5,000,000    2.86%    410,846    410,846    *

Putnam Convertible Income-Growth Trust

    $ 3,600,000    2.06%    295,809    295,809    *

Pyramid Equity Strategies Fund

    $ 250,000    *    20,542    20,542    *

Ritchie Convertible Arbitrage Trading

    $ 840,000    *    69,022    69,022    *

S.A.C. Arbitrage Fund, LLC

    $ 2,500,000    1.43%    363,988    205,423    *

San Diego County Employees Retirement Association

    $ 1,300,000    *    106,820    106,820    *

Singlehedge US Convertible Arbitrage Fund

    $ 1,400,000    *    115,037    115,037    *

Sphinx Convertible Arb Fund SPC
c/o SSI Investment Management Inc.

    $ 155,000    *    12,736    12,736    *

Sphinx Fund
c/o TQA Investors, LLC

    $ 134,000    *    11,010    11,010    *

SSI Hedged Convertible Market
Neutral L.P.

    $ 123,000    *    10,106    10,106    *

St. Thomas Trading, Ltd.

    $ 2,850,000    1.63%    234,182    234,182    *

Sturgeon Limited

    $ 1,098,000    *    90,022    90,022    *

Sunrise Partners Limited Partnership

    $ 25,050,000    14.31%    2,058,340    2,058,340    3.27%

Tenor Opportunity Master Fund, Ltd

    $ 1,500,000    *    123,253    123,253    *

Tribeca Global Convertible

    $ 4,500,000    2.57%    369,761    369,761    *

TQA Master Fund Ltd.

    $ 1,030,000    *    84,634    84,634    *

TQA Master Plus Fund Ltd.

    $ 1,757,000    1.00%    144,371    144,371    *

Xavex—Convertible Arbitrage 7 Fund
c/o TQA Investors, LLC

    $ 253,000    *    20,788    20,788    *

Universal Investment Gesellschaft MBH, REF Aventis

    $ 2,000,000    1.14%    164,338    164,338    *

Zazove Convertible Arbitrage Fund, L.P.

    $ 4,050,000    2.31%    332,785    332,785    *

 

S-3

Name

    Principal Amount
of Notes That
May Be Offered (1)
    Percentage
of Notes
Outstanding
    Common
Stock
Owned Prior
to the
Offering
    Common
Stock That
May Be
Offered
    Percentage
of Common
Stock
Outstanding

Zurich Institutional Benchmarks Master Fund Ltd.
c/o TQA Investors, LLC

    $ 197,000    *    16,187    16,187    *

Certain other holders of notes or common stock or future transferees, pledgees, donees of or from any such holder, if identified as described below (3)

    $ —      —      —      —      —  

Total

    $ 175,000,000    100%    —      14,379,627    22.81%
 * Less than one percent (1%).

 

(1) The figures in this column are based upon information supplied to us as of May 24, 2006 by the selling securityholders named in the table. As of that date, these selling securityholders had supplied us with information indicating that, collectively, they owned more that $175,000,000 aggregate principal amount of notes, reflecting, we believe, that one or more selling securityholders supplied us with information for inclusion in the table and then sold their notes in transactions exempt from the registration requirements of the Securities Act to persons who also supplied us with information with respect to the same notes. However, since none of this prospectus supplement, the prospectus, the previous prospectus supplements or the registration statement of which the prospectus forms a part will be applicable to any of the notes after they have been publicly sold using a prospectus supplement, the prospectus or the registration statement of which the prospectus forms a part, not more than $175,000,000 aggregate principal amount of notes can be sold under this prospectus supplement, the prospectus, the previous prospectus supplements or the registration statement of which the prospectus forms a part and, accordingly, the $175,000,000 total in this column represents the maximum principal amount of the notes that could be sold under the prospectus, as supplemented, or the registration statement of which the prospectus forms a part.

 

(2) Jefferies & Company, Inc. was the initial purchaser of the notes. Additionally, Jefferies & Company, Inc. and its affiliates have performed in the past investment banking, general financing and advisory services for us and our affiliates for which they receive customary fees and expenses.

 

(3) Other holders of notes or shares of our common stock issued upon conversion of the notes and common stock not identified in the table above or future transferees, pledgees or donees of or from the holders identified in the table above may be identified by us at a later date by filing a post-effective amendment to the registration statement of which the prospectus is a part or, if permitted under the Securities Act, a prospectus supplement. Such other holders shall not be permitted to sell pursuant to the registration statement unless and until they are specifically identified in a post-effective amendment to the registration statement or, if permitted under the Securities Act, a prospectus supplement.

 

Investing in the notes and Shares involves risks. See “Risk Factors” beginning on page 6 of the prospectus dated September 20, 2005.

 

Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved of these securities or passed upon the adequacy or accuracy of this prospectus supplement or the accompanying prospectus. Any representation to the contrary is a criminal offense.

 

 

This prospectus supplement is dated May 25, 2006.

 

S-4