As previously reported by HousingWire, CCM was expected to issue $500 million in senior unsecured notes as the closing of Two Harbors Investment Corp.’s sale to CCM approached. Fitch Ratings expects to rate that issuance at “BB-(EXP)” and said proceeds would likely repay MSR-backed facilities drawn to fund the $1.26 billion Two Harbors transaction. The Two Harbors deal will add a $159 billion servicing portfolio to CCM’s $202 billion book as of the first quarter, according to Inside Mortgage Finance data. “However, retained earnings growth should reduce leverage toward the company’s 1.0x target over the medium term,” Fitch said. “Negative rating action could result from an inability to reduce corporate leverage to 1.5x or below over the rating outlook horizon.”