UPDATE 1-Ocwen Financial receives bid from CEO-led group

(Adds total deal value, stock activity)

NEW YORK Jan 15 (Reuters) - Ocwen Financial Corp (OCN.N) said on Tuesday that it had received a proposal from a group led by Chief Executive William Erbey, Oaktree Capital Management and Angelo, Gordon & Co to buy the loan servicing company for $7 per share in cash, or about $438 million based on the amount of stock outstanding.

Ocwen shares closed at $3.98 on Monday. The stock was up $2.27, or 57 percent, at $6.25 in morning New York Stock Exchange trade.

Ocwen's board has formed a special committee of independent directors to consider the proposal. The committee has retained Evercore Group as financial advisor. (Reporting by Mark McSherry and Jonathan Keehner; Editing by Lisa Von Ahn)