New York Mortgage Trust Announces Closing of Public Offering of 6.25% Senior Convertible Notes Due 2022
January 23 2017 - 2:30PM
New York Mortgage Trust, Inc. (Nasdaq:NYMT) (the “Company”)
announced today the closing of its underwritten public offering of
$138.0 million aggregate principal amount of 6.25% senior
convertible notes due 2022 (the “Notes”), which includes $18.0
million aggregate principal amount of the Notes sold by the Company
to the underwriter of the offering pursuant to the exercise by the
underwriter of its option to purchase additional Notes.
The Notes bear interest at a rate equal to 6.25%
per year, payable semiannually in arrears on January 15 and July 15
of each year, commencing July 15, 2017 and are expected to mature
on January 15, 2022, unless earlier converted or repurchased. The
Company does not have the right to redeem the Notes prior to
maturity. Holders of the Notes are permitted to convert their Notes
into shares of the Company’s common stock at any time prior to the
close of business on the business day immediately preceding the
maturity date. The conversion rate initially equals 142.7144 shares
of the Company’s common stock per $1,000 principal amount of Notes,
which is equivalent to a conversion price of approximately $7.01
per share of the Company’s common stock, based on a $1,000
principal amount of the Notes.
The net proceeds to the Company from this offering
are expected to be approximately $127.3 million after deducting the
underwriting discount and commission and estimated transaction
expenses payable by the Company. The Company intends to use the net
proceeds of the offering to acquire its targeted assets and for
general working capital purposes, which may include the repayment
of indebtedness.
Nomura Securities International, Inc. acted as sole
book-running manager for the offering.
The offering was made pursuant to an effective
shelf registration statement, including a prospectus and related
prospectus supplement, filed by the Company with the Securities and
Exchange Commission (the “SEC”).
These documents may be obtained for free by
visiting the SEC’s website at http://www.sec.gov. Alternatively, a
copy of the preliminary prospectus supplement and accompanying
prospectus related to the offering may be obtained by
contacting:
Nomura Securities International, Inc.Attention:
Equity SyndicateWorldwide Plaza 309 West 49th Street, 5th FloorNew
York, New York 10019-7316(212) 667-9562
This press release shall not constitute an offer to
sell or the solicitation of an offer to buy, nor shall there be any
sale of these securities in any state in which such offer,
solicitation or sale would be unlawful.
About New York Mortgage Trust
New York Mortgage Trust, Inc. is a Maryland
corporation that has elected to be taxed as a real estate
investment trust (“REIT”) for federal income tax purposes. The
Company is an internally managed REIT which invests in
mortgage-related and financial assets and targets residential
mortgage loans, including second mortgages and loans sourced from
distressed markets, multi-family CMBS, direct financing to owners
of multi-family properties through mezzanine loans and preferred
equity investments and other commercial real estate-related
investments and non-Agency RMBS. The Midway Group, L.P. and
Headlands Asset Management, LLC provide investment management
services to the Company with respect to certain of its asset
classes.
Forward-Looking Statements
This press release contains forward-looking
statements within the meaning of the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995.
Forward-looking statements are based on our beliefs,
assumptions and expectations of our future performance, taking into
account all information currently available to us. The
beliefs, assumptions and expectations on which the forward-looking
statements are based are subject to risks and uncertainties and can
change as a result of many possible events or factors, not all of
which are known to us, including those described in our Annual
Report on Form 10-K for the fiscal year ended December 31, 2015,
which has been filed with the SEC. If a change occurs, these
forward-looking statements may vary materially from those expressed
in this release. All forward-looking statements speak only as of
the date on which they are made. Except as required by law, we are
not obligated to, and do not intend to, update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
For Further Information
AT THE COMPANY
Kristine R. Nario
Chief Financial Officer
Phone: 646-216-2363
Email: knario@nymtrust.com
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