NEW YORK, Dec. 27, 2016
/PRNewswire/ -- Five Oaks Investment Corp. (NYSE: OAKS)
(the "Company") today made the following announcements:
Deficiency Dividend*
On November 9, 2016, the Company
announced that its board of directors had declared a deficiency
dividend of $19,384,346, representing
$1.3275 for each share of common
stock, payable in a combination of cash and stock with an aggregate
maximum payment of 20% of the dividend, or $3,876,869, in cash. The dividend was
payable to common stockholders of record as of November 21, 2016. Stockholders of record at that
date received an election form allowing them to elect to receive
the dividend entirely in cash or in stock prior to the close of
business on December 12,
2016. The Company had announced that to the extent the
cash alternative was oversubscribed, each stockholder electing the
cash alternative would receive a pro-rata amount of cash and stock
with such cash component being no less than $0.2655 per share. Stockholders holding an
aggregate of 7,494,413 shares of common stock representing 51.3% of
total stock outstanding elected the cash alternative, and
accordingly received $0.5175 per
share in cash, with the balance payable in common stock. The
Company on December 23, 2016 determined the value of the
stock component of the dividend by averaging the closing sales
prices of its common stock for the 10 trading days to and
including December 22, 2016 ($5.28).
The payment date of the deficiency dividend was December
27, 2016. As a result of the stockholder elections and
of the computation referenced above, the Company paid the maximum
20% in cash and issued 2,936,798 shares of common stock,
or 20.11% of its previously outstanding number of shares, for
a post-payment total number of outstanding shares of common stock
of 17,539,192.
|
*Numbers may not
foot due to rounding and cash paid in lieu of fractional
shares
|
Monthly Dividends for the First Quarter of
2017
On December 20, 2016, the board of
directors of the Company voted to continue the monthly cash
dividend payout policy in effect for the third and fourth quarters
of 2016 but to reduce the per share amount based on the number of
additional shares of common stock to be issued as a result of the
deficiency dividend. The number of additional shares of
common stock, as set out above, was not determined
until December 23, 2016; accordingly, the Company is
today also announcing that its Board of Directors has declared a
monthly dividend rate on its common stock of $0.05 per share for the first quarter of
2017.
First Quarter 2017 Common Stock Dividends
|
Month
|
Dividend
|
Record
Date
|
Payment
Date
|
|
|
|
|
|
January
2017
|
$0.05
|
January 17,
2017
|
January 30,
2017
|
|
|
|
|
|
February
2017
|
$0.05
|
February 15,
2017
|
February 27,
2017
|
|
|
|
|
|
March 2017
|
$0.05
|
March 15,
2017
|
March 30,
2017
|
In accordance with the terms of the 8.75% Cumulative Redeemable
Preferred Stock ("Series A Preferred Stock") of the Company, the
board of directors has also declared monthly cash dividend rates
for the first quarter of 2017 of $0.1823 per share of Series A Preferred
Stock:
First Quarter 2017 Series A Preferred Stock Dividends
|
Month
|
Dividend
|
Record
Date
|
Payment
Date
|
|
|
|
|
|
January
2017
|
$0.1823
|
January 17,
2017
|
January 27,
2017
|
|
|
|
|
|
February
2017
|
$0.1823
|
February 15,
2017
|
February 27,
2017
|
|
|
|
|
|
March 2017
|
$0.1823
|
March 15,
2017
|
March 27,
2017
|
Five Oaks Investment Corp.
Five Oaks Investment Corp. is a real estate investment trust
focused with its subsidiaries on investing on a leveraged basis in
mortgage and other real estate-related assets, particularly
mortgage-backed securities, mortgage servicing rights, and other
mortgage related assets. The Company's objective is to deliver
attractive cash flow returns over time to its investors, primarily
through dividends and secondarily through capital appreciation.
Five Oaks Investment Corp. is externally managed and advised by
Oak Circle Capital Partners LLC.
Forward-Looking Statements
This press release includes "forward-looking statements" within
the meaning of the U.S. securities laws that are subject to risks
and uncertainties. These forward-looking statements include
information about possible or assumed future results of the
Company's business, financial condition, liquidity, results of
operations, plans and objectives. You can identify forward-looking
statements by use of words such as "believe," "expect,"
"anticipate," "estimate," "plan," "continue," "intend," "should,"
"may" or similar expressions or other comparable terms, or by
discussions of strategy, plans or intentions. Statements
regarding the following subjects, among others, may be
forward-looking: the return on equity; the yield on investments;
the ability to borrow to finance assets; and risks associated with
investing in real estate assets, including changes in business
conditions and the general economy. Forward-looking
statements are based on the Company's beliefs, assumptions and
expectations of its future performance, taking into account all
information currently available to the Company. Actual
results may differ from expectations, estimates and projections
and, consequently, you should not rely on these forward looking
statements as predictions of future events. Forward-looking
statements are subject to substantial risks and uncertainties, many
of which are difficult to predict and are generally beyond the
Company's control. Additional information concerning these
and other risk factors are contained in the Company's most recent
filings with the Securities and Exchange Commission, which are
available on the Securities and Exchange Commission's website at
www.sec.gov.
All subsequent written and oral forward-looking statements that
the Company makes, or that are attributable to the Company, are
expressly qualified in their entirety by this cautionary
notice. Any forward-looking statement speaks only as of the
date on which it is made. Except as required by law, the
Company is not obligated to, and does not intend to, update or
revise any forward-looking statements, whether as a result of new
information, future events or otherwise.
Additional Information and Where to Find It
Investors, security holders and other interested persons may
find additional information regarding the Company at the
SEC's Internet site at http://www.sec.gov/ or the Company
website www.fiveoaksinvestment.com or by directing requests to:
Five Oaks Investment Corp., 540 Madison Avenue, 19th
Floor, New York, NY 10022,
Attention: Investor Relations.
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SOURCE Five Oaks Investment Corp.