Ladder Announces Pricing of $500 Million Senior Notes Offering
June 20 2024 - 5:30PM
Business Wire
Ladder Capital Corp (“Ladder,” the “Company,” “we” or “our”)
(NYSE: LADR) announced today that its subsidiaries, Ladder Capital
Finance Holdings LLLP (the “Issuer”) and Ladder Capital Finance
Corporation (the “Co-Issuer” and collectively with the Issuer, the
“Issuers”), have priced a private offering of $500 million in
aggregate principal amount of 7.000% Senior Notes due 2031 (the
“Notes”). The sale of the Notes is expected to be completed on or
about July 5, 2024, subject to customary closing conditions. The
Notes will be the Issuers’ senior unsecured obligations and will be
guaranteed on a senior unsecured basis by the Company and each of
the Issuers’ wholly owned domestic subsidiaries that guarantees the
Issuers’ outstanding notes.
The Issuers intend to use a portion of the net proceeds of this
offering to repay certain existing secured indebtedness, with the
remaining net proceeds to be used for general corporate purposes.
Moody’s Ratings has affirmed the Ba1 long-term corporate family
rating of the Company with outlook revised to positive and upgraded
the backed senior unsecured notes ratings of the Issuer to Ba1.
Fitch Ratings affirmed the long-term issuer default ratings and
senior unsecured debt ratings of the Issuers at BB+ and revised the
rating outlook to positive. S&P Global Ratings raised its
issuer credit and issue ratings on the Issuer and the Issuer’s
senior unsecured notes to BB with a stable outlook.
The Notes were offered to persons reasonably believed to be
qualified institutional buyers pursuant to Rule 144A under the
Securities Act of 1933, as amended (the “Securities Act”), and to
non-U.S. persons outside the United States pursuant to Regulation S
under the Securities Act. The Notes have not been registered under
the Securities Act and may not be offered or sold in the United
States absent registration or an applicable exemption from the
registration requirements. This press release does not constitute
an offer to sell the Notes or a solicitation for an offer to
purchase the Notes.
About Ladder
Ladder Capital Corp is an internally-managed commercial real
estate investment trust with $5.3 billion of assets as of March 31,
2024. Our investment objective is to preserve and protect
shareholder capital while producing attractive risk-adjusted
returns. As one of the nation’s leading commercial real estate
capital providers, we specialize in underwriting commercial real
estate and offering flexible capital solutions within a
sophisticated platform.
Ladder originates and invests in a diverse portfolio of
commercial real estate and real estate-related assets, focusing on
senior secured assets. Our investment activities include: (i) our
primary business of originating senior first mortgage fixed and
floating rate loans collateralized by commercial real estate with
flexible loan structures; (ii) owning and operating commercial real
estate, including net leased commercial properties; and (iii)
investing in investment grade securities secured by first mortgage
loans on commercial real estate.
Founded in 2008, Ladder is run by a highly experienced
management team with extensive expertise in all aspects of the
commercial real estate industry, including origination, credit,
underwriting, structuring, capital markets and asset management.
Members of Ladder’s management and board of directors are highly
aligned with the Company’s investors, owning over 11% of the
Company’s equity. Ladder is headquartered in New York City with
regional offices in Miami, Florida and Los Angeles, California.
Forward-Looking Statements
Certain statements in this release may constitute
“forward-looking” statements, including those regarding the Notes
offering and the intended use of proceeds from the Notes offering.
These statements are based on management’s current opinions,
expectations, beliefs, plans, objectives, assumptions or
projections regarding future events or future results. These
forward-looking statements are only predictions, not historical
fact, and involve certain risks and uncertainties, as well as
assumptions. Actual results, levels of activity, performance,
achievements and events could differ materially from those stated,
anticipated or implied by such forward-looking statements. While
Ladder believes that its assumptions are reasonable, it is very
difficult to predict the impact of known factors, and, of course,
it is impossible to anticipate all factors that could affect actual
results on the Company’s business. There are a number of risks and
uncertainties that could cause actual results to differ materially
from forward-looking statements made herein including, most
prominently, market factors affecting the Notes offering and the
risks discussed under the heading “Risk Factors” in the Company’s
Annual Report on Form 10-K for the year ended December 31, 2023, as
well as its consolidated financial statements, related notes, and
other financial information appearing therein, and its other
filings with the U.S. Securities and Exchange Commission. Such
forward-looking statements are made only as of the date of this
release. Ladder expressly disclaims any obligation or undertaking
to release any updates or revisions to any forward-looking
statements contained herein to reflect any change in its
expectations with regard thereto or changes in events, conditions,
or circumstances on which any such statement is based.
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Ladder Capital Corp Investor Relations 917-369-3207
investor.relations@laddercapital.com
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