On October 22, 2020, Front Yard Residential Corporation (the Company) filed a Form 8-K with the
Securities and Exchange Commission (the SEC) in connection with the proposed acquisition of Front Yard Residential Corporation (the Company or Front Yard) by Pretium Midway Holdco, LP
(Parent) pursuant to an Agreement and Plan of Merger, dated as of October 19, 2020 (the Original Agreement), as amended by the First Amendment to Agreement and Plan of Merger, dated as of November 20,
2020 (the Amendment and, together with the Original Agreement, the Merger Agreement), by and among the Company, Parent and Midway AcquisitionCo REIT (Merger Sub), a wholly-owned subsidiary of
Parent. On November 23, 2020, the Company filed with the SEC its preliminary proxy statement on Schedule 14A and on December 8, 2020, the Company filed with the SEC its definitive proxy statement on Schedule 14A relating to the special
meeting of stockholders of the Company scheduled to be held on January 6, 2021 (the Definitive Proxy Statement) to, among other things, vote on a proposal to approve the merger of the Company with and into Merger Sub (the
Merger) with Merger Sub surviving the Merger as a wholly-owned subsidiary of Parent.
Since the initial filing of the preliminary proxy
statement on Schedule 14A, five actions (collectively, the Front Yard Stockholder Actions) have been filed in federal courts in Delaware, New York and Georgia by purported Front Yard stockholders in connection with the
transactions contemplated by the Merger Agreement: Wang v. Front Yard Residential Corporation, et al., Case No. 1:99-mc-09999 (D. Del. Nov. 24, 2020) (the
Wang Action); Braunstein v. Front Yard Residential Corporation, et al., Case No. 1:20-cv-10110 (S.D.N.Y. Dec. 2, 2020); Long v. Front Yard
Residential Corporation, et al., Case No. 1:20-cv-01668-UNA (D. Del. Dec. 8, 2020) (the Long Action);
Klein v. Whitfield, et al., Case No. 1:20-cv-10485 (S.D.N.Y. Dec. 11, 2020); and Kearny v. Front Yard Residential Corporation, et al., Case No. 1:20-mi-99999-UNA (N.D. Ga. Dec. 24, 2020). Each of the Front Yard Stockholder Actions names Front Yard and its directors as
defendants, and the Wang Action and the Long Action name Parent as an additional defendant. Each of the Front Yard Stockholder Actions alleges, among other things, that the Definitive Proxy Statement on Schedule 14A is false and misleading
and/or omits material information concerning the transactions contemplated by the Merger Agreement in violation of Sections 14(a) and 20(a) of the Securities Exchange Act of 1934, as amended (the Exchange Act), and Rule 14a-9 promulgated under the Exchange Act. The plaintiffs in the Front Yard Stockholder Actions, among other things, seek to enjoin the transactions contemplated by the Merger Agreement and an award of
attorneys fees and expenses.
SUPPLEMENT TO DEFINITIVE PROXY STATEMENT
This supplemental information should be read in conjunction with the Definitive Proxy Statement, which should be read in its entirety. Page references in
the below disclosures are to pages in the Definitive Proxy Statement, and defined terms used but not defined herein have the meanings set forth in the Definitive Proxy Statement. To the extent the following information differs from or conflicts with
the information contained in the Definitive Proxy Statement, the information set forth below shall be deemed to supersede the respective information in the Definitive Proxy Statement. The Company denies the allegations in the complaints related to
the Front Yard Stockholder Actions and denies any alleged violations of law or any legal or equitable duty. Without admitting in any way that the disclosures below are material or otherwise required by law, the Company makes the following amended
and supplemental disclosures solely for the purpose of mooting the allegations in the complaints related to the Front Yard Stockholder Actions.
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