iStar Announces Adjustment of Conversion Rate for Convertible Notes

Rhea-AI Summary

iStar Inc. (NYSE: STAR) announced an adjustment to its 3.125% Convertible Senior Notes due 2022, altering the conversion price to $14.23 per share from $14.47 following cash dividends payable on December 15, 2020. The adjusted rate allows holders to convert notes into approximately 70.2538 shares of common stock per $1,000 principal amount. This change is effective from November 30, 2020 and aims to reflect the recent dividend payments.

Positive

• Conversion price adjustment from $14.47 to $14.23 may attract investors, enhancing note attractiveness.
• Consistent innovation in real estate markets with over $40 billion in completed transactions.

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• None.

NEW YORK, Dec. 1, 2020 /PRNewswire/ -- iStar Inc. (NYSE: STAR) announced today an adjustment to the conversion rate of its 3.125% Convertible Senior Notes due 2022 as a result of the common stock cash dividends to be paid on December 15, 2020.

The conversion price applicable to the outstanding Convertible Notes has been adjusted to $14.23 per share (70.2538 shares of iStar common stock per $1,000 principal amount of Notes) from $14.47 per share (69.1041 shares of iStar common stock per $1,000 principal amount of Notes) effective November 30, 2020 and subject to further adjustment as provided in the governing supplemental indenture. 

Notice of the conversion rate adjustment has been delivered to holders of the notes and U.S. Bank National Association, as trustee, in accordance with the terms of the supplemental indenture.

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iStar Inc. (NYSE: STAR) is focused on reinventing the ground lease sector, unlocking value for real estate owners throughout the country by providing modern, more efficient ground leases on all types of properties. As the founder, investment manager and largest shareholder of Safehold Inc. (NYSE: SAFE), the first publicly traded company to focus on modern ground leases, iStar is helping create a logical new approach to the way real estate is owned, and continues to use its historic strengths in finance and net lease to expand this unique platform. Recognized as a consistent innovator in the real estate markets, iStar specializes in identifying and scaling newly discovered opportunities and has completed more than $40 billion of transactions over the past two decades. Additional information on iStar is available on its website at www.istar.com.

 

 

View original content:http://www.prnewswire.com/news-releases/istar-announces-adjustment-of-conversion-rate-for-convertible-notes-301183052.html

SOURCE iStar Inc.

FAQ

What is the adjusted conversion price for iStar's Convertible Senior Notes?

The adjusted conversion price is $14.23 per share, reduced from $14.47.

When did the conversion rate for iStar's notes change?

The conversion rate changed effective November 30, 2020.

What is the conversion rate for each $1,000 principal amount of iStar's notes?

The conversion rate is approximately 70.2538 shares of iStar common stock for each $1,000 principal amount.

When will cash dividends on iStar's stock be paid?

Cash dividends will be paid on December 15, 2020.