By Rebecca Melvin
New York, Nov. 8 – Arbor Realty Trust Inc. priced $125 million of three-year convertible senior notes at par to yield 5.375% and with an initial conversion premium of about 10%, according to a term sheet.
J.P. Morgan Securities LLC, JMP Securities LLC and BofA Merrill Lynch were joint bookrunners of the registered deal.
The convertibles will be non-callable.
Conversions will be done via the issuance of stock, cash or a combination thereof, and the notes have takeover protection.
Proceeds will be used to make investments related to the Uniondale, N.Y.-based real estate investment trust’s business and for general corporate purposes. A portion of the proceeds may also be used to repay existing debt.
| Issuer: | Arbor Realty Trust Inc.
|
| Securities: | Convertible senior notes
|
| Amount: | $125 million
|
| Maturity: | Nov. 15, 2020
|
| Bookrunners: | J.P. Morgan Securities LLC, JMP Securities LLC and BofA Merrill Lynch
|
| Coupon: | 5.375%
|
| Price: | Par of $1,000
|
| Yield: | 5.375%
|
| Conversion premium: | Approximately 10%
|
| Conversion price: | $9.28 per share
|
| Conversion rate: | 107.7122 shares
|
| Call feature: | Non-callable
|
| Takeover protection: | Yes
|
| Trade date: | Nov. 8
|
| Settlement date: | Nov. 13
|
| Distribution: | SEC registered
|
| Stock symbol: | NYSE: ABR
|
| Stock price: | $8.44 as of Nov. 7 close
|
| Market capitalization: | $515.22 million
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
