New York Mortgage Trust Announces Upsize of Common Stock Repurchase Program and Adoption of Preferred Stock Repurchase Program

Rhea-AI Summary

New York Mortgage Trust, Inc. (Nasdaq: NYMT) announced an increase in its common stock repurchase program to $246 million, following approximately $46 million already repurchased. This upsize aims to enhance shareholder value. Additionally, the Board authorized a preferred stock repurchase program of up to $100 million, allowing flexibility in market acquisitions. The repurchase activities will depend on market conditions and liquidity. NYMT focuses on acquiring and managing mortgage-related assets, emphasizing its strategy to maintain strong investor confidence and optimize capital return.

Positive

• Upsized common stock repurchase program to $246 million, enhancing shareholder value.
• Authorization of a new preferred stock repurchase program of up to $100 million.

Negative

• None.

NEW YORK, March 15, 2023 (GLOBE NEWSWIRE) -- New York Mortgage Trust, Inc. (Nasdaq: NYMT) (“NYMT” or the “Company”) today announced that its Board of Directors (the “Board”) authorized the upsize of its previously announced common stock repurchase program such that common stock having an aggregate value of $200 million remains available for repurchase after giving effect to the upsize. As of March 14, 2023, the Company had repurchased approximately $46 million of the $200 million of common stock originally authorized for repurchase under the common stock repurchase program. The upsize announced today brings the total size of the common stock repurchase program to $246 million. All other terms of the Company’s common stock repurchase program remain unchanged.

In addition, the Board authorized a preferred stock repurchase program under which the Company may repurchase up to $100 million of the Company’s preferred stock, which includes the Company’s 8.000% Series D Fixed-to-Floating Rate Cumulative Redeemable Preferred Stock, 7.875% Series E Fixed-to-Floating Rate Cumulative Redeemable Preferred Stock, 6.875% Series F Fixed-to-Floating Rate Cumulative Redeemable Preferred Stock, and 7.000% Series G Cumulative Redeemable Preferred Stock. The preferred stock repurchase program does not require the purchase of any minimum number of shares. Acquisitions under the preferred stock repurchase program may be made in the open market, through privately negotiated transactions or block trades or other means, in accordance with applicable securities laws. The timing and extent to which the Company repurchases shares of its preferred stock will depend upon, among other things, market conditions, share price, liquidity, regulatory requirements and other factors, and repurchases may be commenced or suspended at any time without prior notice. The Company expects to fund any preferred stock repurchases through current liquidity.

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. NYMT is an internally managed REIT in the business of acquiring, investing in, financing and managing primarily mortgage-related single-family and multi-family residential assets.

Cautionary Statement Regarding Forward-Looking Statements

When used in this press release, in future filings with the Securities and Exchange Commission (the “SEC”) or in other written or oral communications, statements which are not historical in nature, including those containing words such as “will,” “believe,” “expect,” “anticipate,” “estimate,” “plan,” “continue,” “intend,” “could,” “would,” “should,” “may” or similar expressions, are intended to identify “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and, as such, may involve known and unknown risks, uncertainties and assumptions.

Forward-looking statements are based on estimates, projections, beliefs and assumptions of management of the Company at the time of such statements and are not guarantees of future performance. Forward-looking statements involve risks and uncertainties in predicting future results and conditions. Actual results and outcomes could differ materially from those projected in these forward-looking statements due to a variety of factors, including, without limitation: changes in the Company’s business and investment strategy; inflation and changes in interest rates and the fair market value of the Company’s assets, including negative changes resulting in margin calls relating to the financing of the Company’s assets; changes in credit spreads; changes in the long-term credit ratings of the U.S., Fannie Mae, Freddie Mac, and Ginnie Mae; general volatility of the markets in which the Company invests; changes in prepayment rates on the loans the Company owns or that underlie the Company’s investment securities; increased rates of default, delinquency or vacancy and/or decreased recovery rates on or at the Company’s assets; the Company’s ability to identify and acquire targeted assets, including assets in its investment pipeline; the Company’s ability to dispose of assets from time to time on terms favorable to the Company, including the disposition over time of its joint venture equity investments; changes in relationships with the Company’s financing counterparties and the Company’s ability to borrow to finance its assets and the terms thereof; changes in the Company’s relationships with and/or the performance of its operating partners; the Company’s ability to predict and control costs; changes in laws, regulations or policies affecting the Company’s business; the Company’s ability to make distributions to its stockholders in the future; the Company’s ability to maintain its qualification as a REIT for federal tax purposes; the Company’s ability to maintain its exemption from registration under the Investment Company Act of 1940, as amended; and risks associated with investing in real estate assets, including changes in business conditions and the general economy, the availability of investment opportunities and the conditions in the market for Agency RMBS, non-Agency RMBS, ABS and CMBS securities, residential loans, structured multi-family investments and other mortgage-, residential housing- and credit-related assets.

These and other risks, uncertainties and factors, including the risk factors described in the Company’s reports filed with the SEC pursuant to the Exchange Act, could cause the Company’s actual results to differ materially from those projected in any forward-looking statements the Company makes. All forward-looking statements speak only as of the date on which they are made. New risks and uncertainties arise over time and it is not possible to predict those events or how they may affect the Company. 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.

For Further Information

AT THE COMPANY        
Investor Relations
Phone: 212-792-0107
Email: InvestorRelations@nymtrust.com 

FAQ

What is the total value of the common stock repurchase program for NYMT?

The total value of the common stock repurchase program for New York Mortgage Trust is now $246 million.

How much common stock has New York Mortgage Trust repurchased as of March 14, 2023?

As of March 14, 2023, New York Mortgage Trust has repurchased approximately $46 million of its common stock.

What is the purpose of the preferred stock repurchase program by NYMT?

The preferred stock repurchase program aims to optimize capital returns and enhance shareholder value, allowing repurchases of up to $100 million.

How will the repurchase of preferred stock be conducted?

Repurchases of preferred stock may be made in the open market or through other means, depending on market conditions and liquidity.