Better signals tough Q3 amid enterprise pivot

Better Home & Finance Holding Co. anticipates a tough third quarter as it rolls out a new strategic plan under the interim leadership of Daniel Lewis. “The board concluded that we are in a transitional phase between a founder-mode company — which is about creativity and many different projects — and an enterprise stage of executing against a very select set of ideas that have demonstrated product-market fit,” Lewis said during an earnings call with analysts on Thursday. Lewis, who has a background as an activist investor, was questioned about the possibility that his nomination could be tied to a sale of the company. Since the announcement of his position, analysts and investors have been questioning whether Better could raise capital, go private or engage in mergers and acquisitions. “There’s no formal strategic alternatives process at this time,” he said. Lewis’s hedge fund, Orange Capital, shut down in 2016 after 10 years in operation and a portfolio worth more than $1 billion. From 2018 to 2023, he served as CEO of Ascend Fundraising Solutions, a Toronto-based software company. He gained the top job at Better after building a 5.8% stake in the company. Lewis, who is replaci...