New York Mortgage Trust announces $75 million senior notes offering, maturing in 2030, with proceeds for corporate purposes.
Quiver AI Summary
New York Mortgage Trust, Inc. announced the pricing of a public offering of $75 million in senior notes with a 9.125% interest rate due 2030. The offering includes a 30-day option for underwriters to purchase an additional $11.25 million in notes. The expected close is on January 14, 2025, subject to standard conditions. If approved, the notes will be listed on the Nasdaq under the symbol "NYMTG" and are anticipated to start trading within 30 days after issuance. Proceeds from the offering are intended for general corporate uses, including acquiring targeted real estate assets. The notes will be senior unsecured obligations, paying quarterly interest and maturing on April 1, 2030, with a redemption option available starting April 1, 2027.
Potential Positives
- Company successfully priced a public offering of $75 million of 9.125% senior notes, reflecting favorable market conditions and investor interest.
- Offering includes an over-allotment option of up to $11.25 million, providing potential for increased capital accumulation.
- Proceeds will be used for general corporate purposes, including targeted asset acquisitions, which could enhance the company's portfolio and growth strategy.
- Company's intention to list the notes on Nasdaq underlines its commitment to increasing visibility and attractiveness to investors.
Potential Negatives
- The issuance of senior notes may signal a need for additional capital, which could indicate underlying financial pressures or decreased liquidity.
- The company’s reliance on debt financing through the issuance of senior notes could increase its overall financial risk and interest obligations.
- Forward-looking statements warn that there's no assurance the offering will be completed as described, highlighting uncertainty around the company's funding plans.
FAQ
What is the total amount of senior notes offered by New York Mortgage Trust?
New York Mortgage Trust is offering $75 million aggregate principal amount of its 9.125% senior notes due 2030.
When is the expected closing date for the offering?
The offering is expected to close on January 14, 2025, subject to customary closing conditions.
What will the proceeds from the offering be used for?
The net proceeds will be used for general corporate purposes, including acquiring targeted assets and working capital.
How often will the senior notes pay interest?
The senior notes will pay interest quarterly in cash on January 1, April 1, July 1, and October 1.
Where will the senior notes be listed for trading?
The Company has applied to list the notes on the Nasdaq Global Select Market under the symbol “NYMTG.”
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$NYMT Hedge Fund Activity
We have seen 70 institutional investors add shares of $NYMT stock to their portfolio, and 74 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- BALYASNY ASSET MANAGEMENT L.P. removed 394,415 shares (-31.8%) from their portfolio in Q3 2024
- WATERFALL ASSET MANAGEMENT, LLC removed 295,800 shares (-100.0%) from their portfolio in Q3 2024
- BLACKROCK, INC. added 240,235 shares (+1.6%) to their portfolio in Q3 2024
- PALE FIRE CAPITAL SE added 207,971 shares (+inf%) to their portfolio in Q3 2024
- CHARLES SCHWAB INVESTMENT MANAGEMENT INC removed 195,164 shares (-12.8%) from their portfolio in Q3 2024
- MORGAN STANLEY added 152,924 shares (+13.8%) to their portfolio in Q3 2024
- EMG HOLDINGS, L.P. added 137,242 shares (+11.4%) to their portfolio in Q3 2024
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
NEW YORK, Jan. 08, 2025 (GLOBE NEWSWIRE) -- New York Mortgage Trust, Inc. (Nasdaq: NYMT) (the “Company”) announced today the pricing of an underwritten public offering of $75 million aggregate principal amount of its 9.125% senior notes due 2030 (the “Notes”). The Company has granted the underwriters a 30-day option to purchase up to an additional $11.25 million aggregate principal amount of the Notes to cover over-allotments. The offering is expected to close on January 14, 2025, subject to the satisfaction of customary closing conditions.
The Company has applied to list the Notes on the Nasdaq Global Select Market (“Nasdaq”) under the symbol “NYMTG” and, if the application is approved, expects trading in the Notes on Nasdaq to begin within 30 days after the Notes are first issued.
The Company intends to use the net proceeds of the offering for general corporate purposes, which may include, among other things, acquiring the Company’s targeted assets, including both single-family and multi-family residential assets, and various other types of mortgage-, residential housing- and credit-related assets that the Company may target from time to time and general working capital purposes.
The Notes will be senior unsecured obligations of the Company and pay interest quarterly in cash on January 1, April 1, July 1 and October 1 of each year, commencing April 1, 2025. The Notes will mature on April 1, 2030, and may be redeemed, in whole or in part, at any time, or from time to time, at the Company’s option on or after April 1, 2027.
Morgan Stanley & Co. LLC, Piper Sandler & Co., RBC Capital Markets, LLC, UBS Investment Bank and Wells Fargo Securities, LLC acted as joint book-running managers of the offering.
The offering was made pursuant to the Company’s existing shelf registration statement, which was declared effective by the Securities and Exchange Commission (the “SEC”) on August 5, 2024. The offering of these securities was made only by means of a prospectus and a related prospectus supplement, which will be filed with the SEC. Copies of the prospectus and prospectus supplement related to this offering may be obtained, when available, by contacting:
Morgan Stanley & Co. LLC
180 Varick St., 2nd Floor, New York, New York 10014
Attn: Prospectus Department
Toll-Free: 1-800-584-6837
Piper Sandler & Co.
1251 Avenue of the Americas, 6th Floor, New York, NY 10020
Attn: Debt Capital Markets
Email: fsg-dcm@psc.com
RBC Capital Markets, LLC
Brookfield Place
200 Vesey Street, 8th Floor
New York, NY 10281
Email: rbcnyfixedincomeprospectus@rbccm.com
Toll-Free: 1-866-375-6829
UBS Securities LLC
1285 Avenue of the Americas, New York, New York 10019
Attn: Prospectus Department
Toll-Free: 1-833-481-0269
Wells Fargo Securities, LLC
608 2nd Avenue South, Suite 1000, Minneapolis, MN 55402
Attn: WFS Customer Service
Email: wfscustomerservice@wellsfargo.com
Toll-Free: 1-800-645-3751
This press release shall not constitute an offer to sell or the solicitation of an offer to buy the Notes or any other securities, nor shall there be any sale of such Notes or any other securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.
About New York Mortgage Trust, Inc.
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.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. Forward-looking statements involve numerous risks and uncertainties. The Company’s actual results may differ from the Company’s beliefs, expectations, estimates and projections and, consequently, you should not rely on these forward-looking statements as predictions of future events. Forward-looking statements are not historical in nature and can be identified by words such as “anticipate,” “estimate,” “will,” “should,” “expect,” “believe,” “intend,” “seek,” “plan” and similar expressions or their negative forms, or by references to strategy, plans, or intentions. Forward-looking statements are based on the Company’s beliefs, assumptions and expectations of the Company’s future performance, taking into account information currently available to the Company. No assurance can be given that the offering discussed above will be completed on the terms described or at all, or that the net proceeds of the offering will be used as indicated. Completion of the offering on the terms described and the application of the net proceeds of the offering are subject to numerous possible events, factors and conditions, many of which are beyond the control of the Company and not all of which are known to the Company. These forward-looking statements are subject to risks and uncertainties, including, without limitation, market conditions and those described under the heading “Risk Factors” in the prospectus supplement relating to the offering and in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 under “Item 1A. Risk Factors.” Other risks, uncertainties, and factors that could cause actual results to differ materially from those projected may be described from time to time in reports the Company files with the SEC, including reports on Forms 10-Q and 8-K. 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. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.
For Further Information
AT THE COMPANY
Investor Relations
Phone: 212-792-0107
Email:
InvestorRelations@nymtrust.com
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
