Ready Capital Corporation Announces Pricing of Public Offering of Senior Notes Due 2028

Rhea-AI Summary

Ready Capital Corporation (NYSE: RC) announced a public offering of $110.00 million in 5.50% senior unsecured notes due in 2028. The offering aims to finance additional mortgage loans and assets in line with the company’s strategy. Book-running manager Piper Sandler will oversee the offering set to close on December 21, 2021. Each note is priced at $1,000 with a minimum denomination of $2,000. The registration statement was declared effective by the SEC.

Positive

• Proceeds intended for acquiring mortgage-related assets, which may enhance revenue potential.

Negative

• Possible shareholder dilution due to new debt issuance.

NEW YORK, Dec. 16, 2021 /PRNewswire/ -- Ready Capital Corporation (NYSE: RC) ("Ready Capital" or the "Company") today announced that it priced an underwritten public offering of $110.00 million aggregate principal amount of  5.50% senior unsecured notes due 2028. The Company intends to use the net proceeds from this offering to originate or acquire additional mortgage loans and mortgage-related assets consistent with its investment strategy and for general business purposes. Piper Sandler & Co. is serving as book-running manager for the offering. The offering is expected to close on December 21, 2021 and is subject to customary closing conditions. The issue price to investors will be $1,000.00 per note, plus accrued interest, if any, from December 21, 2021, if settlement occurs after that date, and the notes will be issued in minimum denominations of $2,000.00 and integral multiples of $1,000.00.

A registration statement relating to these notes was declared effective by the Securities and Exchange Commission (the "SEC").  The offering was made only by means of a preliminary prospectus supplement and accompanying prospectus, which have been filed with the SEC.  A copy of the prospectus supplement and accompanying prospectus may be obtained free of charge at the SEC's website at www.sec.gov or from the underwriters by contacting:  Piper Sandler & Co. at 1251 Avenue of the Americas, 6th Floor, New York, NY 10020, or by calling toll-free 866-805-4128, or by email at fsg-dcm@psc.com.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any of the Company's securities, nor shall there be any sale of the Company's securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.

About Ready Capital Corporation

Ready Capital Corporation (NYSE: RC) is a multi-strategy real estate finance company that originates, acquires, finances and services small- to medium-sized balance commercial loans. Ready Capital specializes in loans backed by commercial real estate, including agency multifamily, investor and bridge as well as U.S. Small Business Administration loans under its Section 7(a) program. Headquartered in New York, New York, Ready Capital employs over 400 lending professionals nationwide. The Company is externally managed and advised by Waterfall Asset Management, LLC.

Forward-Looking Statements

This press release contains certain forward-looking statements.  Words such as "believe," "expect," "anticipate," "estimate," "plan," "continue," "intend," "should," "could," "would," "may," "potential" or the negative of those terms or other comparable terminology are intended to identify forward-looking statements.  These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions, many of which are beyond the control of the Company, including, without limitation, the risk factors and other matters set forth in the prospectus supplement and the accompanying prospectus and the Company's Annual Report on Form 10–K for the year ended December 31, 2020 filed with the SEC and in its other filings with the SEC.  The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law.

Contacts:

Investor Relations
Ready Capital Corporation
212-257-4666
InvestorRelations@readycapital.com

 

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SOURCE Ready Capital Corporation

FAQ

What is the purpose of Ready Capital's public offering of notes?

Ready Capital plans to use the proceeds to originate or acquire mortgage loans and mortgage-related assets.

When does Ready Capital's public offering of senior notes close?

The offering is expected to close on December 21, 2021.

What is the total amount of Ready Capital's public offering?

The total amount of the public offering is $110.00 million.

What are the terms of the senior unsecured notes offered by Ready Capital?

The notes have a 5.50% interest rate and are due in 2028.

Who is managing the public offering for Ready Capital?

Piper Sandler & Co. is the book-running manager for the offering.