Eagle Point Income Company Inc. Announces Full Exercise and Closing of Underwriters’ Option in Offering of Preferred Stock

Rhea-AI Summary

Eagle Point Income Company announced the full exercise of underwriters' option to purchase an additional 180,000 shares of its Series A Term Preferred Stock, generating approximately $4.4 million in net proceeds. The offering, initially comprising 1,220,000 shares at $25 each, closed on October 22, 2021. The Series A Preferred Stock is rated 'BBB' and trades under the symbol EICA on the NYSE. Investors are advised to review the prospectus dated October 18, 2021, for detailed information about investment risks and objectives.

Positive

• The offering generated approximately $4.4 million in net proceeds for growth opportunities.
• The Series A Preferred Stock is rated 'BBB', indicating a good credit rating.

Negative

• New shares could dilute existing shareholders' equity.
• -

GREENWICH, Conn.--(BUSINESS WIRE)-- Eagle Point Income Company Inc. (the “Company”) (NYSE: EIC, EICA) today announced, in connection with its previously disclosed underwritten public offering of 1,220,000 shares of its 5.00% Series A Term Preferred Stock due 2026 (the “Preferred Stock”) at a public offering price of $25 per share that closed on October 22, 2021, that the underwriters of such offering have fully exercised their option to purchase an additional 180,000 shares of Preferred Stock. The exercise of the option resulted in additional net proceeds to the Company of approximately $4.4 million after payment of underwriting discounts and commissions. The Preferred Stock is rated ‘BBB’ by Egan-Jones Ratings Company.

The Preferred Stock trades on the New York Stock Exchange under the symbol “EICA,” and the Preferred Stock issued pursuant to the underwriters’ option to purchase additional shares will trade under the same symbol.

Ladenburg Thalmann & Co. Inc. acted as the lead bookrunner for the offering. B. Riley Securities, Inc., Oppenheimer & Co. Inc., InspereX LLC, and Wedbush Securities Inc. acted as joint bookrunners for the offering.

Investors should consider the Company’s investment objectives, risks, charges and expenses carefully before investing. The prospectus dated October 18, 2021 which has been filed with the Securities and Exchange Commission (“SEC”), contains this and other information about the Company and should be read carefully before investing. The prospectus and this press release are not offers to sell these securities and are not soliciting an offer to buy these securities in any state where such offer or sale is not permitted.

A registration statement relating to these securities is on file with and has been declared effective by the SEC. The offering may be made only by means of a prospectus, copies of which may be obtained by writing Ladenburg Thalmann & Co. Inc. at 640 Fifth Avenue, 4th Floor, New York, New York 10019, by calling toll-free 1-800-573-2541 or by sending an e-mail to: prospectus@ladenburg.com; copies may also be obtained for free by visiting EDGAR on the SEC’s website at http://www.sec.gov.

Egan-Jones Ratings Company is a nationally recognized statistical rating organization (NRSRO). A security rating is not a recommendation to buy, sell or hold securities, and any such rating may be subject to revision or withdrawal at any time by the applicable rating agency.

ABOUT EAGLE POINT INCOME COMPANY

The Company is a non-diversified, closed-end management investment company. The Company’s primary investment objective is to generate high current income, with a secondary objective to generate capital appreciation, by investing primarily in junior debt tranches of collateralized loan obligations (“CLOs”). In addition, the Company may invest up to 35% of its total assets (at the time of investment) in CLO equity securities. The Company is externally managed and advised by Eagle Point Income Management LLC.

FORWARD-LOOKING STATEMENTS

This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described in the prospectus and the Company’s other filings with the SEC. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211028005891/en/

Investor Relations:

ICR

203-340-8510

ir@EaglePointIncome.com

www.eaglepointincome.com

Source: Eagle Point Income Company Inc.

FAQ

What was the purpose of the recent stock offering by Eagle Point Income Company?

The offering aimed to raise capital, generating approximately $4.4 million for the company's financial needs.

How many shares of Preferred Stock were offered in the Eagle Point Income Company offering?

The offering initially comprised 1,220,000 shares, with an additional 180,000 shares purchased through the underwriters' option.

What is the ticker symbol for Eagle Point Income Company's Preferred Stock?

The Preferred Stock trades under the ticker symbol EICA on the New York Stock Exchange.

What is the rating of Eagle Point Income Company's Preferred Stock?

The Preferred Stock is rated 'BBB' by Egan-Jones Ratings Company.

When did Eagle Point Income Company close its public offering?

The public offering closed on October 22, 2021.