MFA Financial, Inc. (NYSE:MFA) (the “Company”) announced today
the pricing of an underwritten public offering of $100 million
aggregate principal amount of its 8.875% senior notes due 2029 (the
“Notes”). The Company has granted the underwriters a 30-day option
to purchase up to an additional $15 million aggregate principal
amount of the Notes to cover over-allotments. The offering is
expected to close on January 11, 2024, subject to the satisfaction
of customary closing conditions.
The Company intends to apply to list the Notes on the New York
Stock Exchange under the symbol “MFAN” and, if the application is
approved, expects trading in the Notes on the New York Stock
Exchange to begin within 30 days after the Notes are first issued.
The Notes have received an investment grade rating of BBB- from
Egan-Jones Ratings Company, an independent, unaffiliated rating
agency.
The Company intends to use the net proceeds of the offering for
general corporate purposes, which may include investing in
additional residential mortgage-related assets, including but not
limited to, residential whole loans, business purpose loans, MBS
and other mortgage-related investments, and for working capital,
which may include, among other things, the repayment of existing
indebtedness, including amounts outstanding under the Company’s
repurchase agreements and the repurchase or repayment of a portion
of the Company’s 6.25% Convertible Senior Notes due 2024.
The Notes will be senior unsecured obligations of the Company,
and pay interest quarterly in cash on February 15, May 15, August
15 and November 15 of each year, commencing May 15, 2024. The Notes
will mature on February 15, 2029, 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 February 15, 2026.
Wells Fargo Securities, LLC, Morgan Stanley & Co. LLC, Piper
Sandler & Co. and UBS Securities LLC will serve as joint
book-running managers for the offering.
The Notes will be offered under the Company’s existing shelf
registration statement filed with the Securities and Exchange
Commission. The offering of these Notes will be made only by means
of a prospectus and a related prospectus supplement, a copy of
which may be obtained by contacting:
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
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
UBS Securities LLC 1285 Avenue of the Americas, New York, New
York 10019 Attn: Prospectus Department Toll-Free:
1-888-827-7275
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 MFA Financial, Inc.
MFA Financial, Inc. is a leading specialty finance company that
invests in residential mortgage loans, residential mortgage-backed
securities and other real estate assets. Through its wholly owned
subsidiary, Lima One Capital, MFA also originates and services
business purpose loans for real estate investors. MFA has
distributed over $4.7 billion in dividends to stockholders since
its initial public offering in 1998. MFA is an internally managed,
publicly traded real estate investment trust.
Forward-Looking Statements
This press release contains forward looking statements within
the meaning 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 it. No assurance can be given that the offering
discussed above will be consummated, or that the net proceeds of
the offering will be used as indicated. Consummation of the
offering 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 it, 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 most recent Annual Report on Form 10-K and any subsequent
Quarterly Reports on Form 10-Q, which can be accessed at the
Securities and Exchange Commission’s website at www.sec.gov. 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.
Category: Public Offering
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240108966770/en/
InvestorRelations@mfafinancial.com 212-207-6488
www.mfafinancial.com
MFA Financial (NYSE:MFA)
Historical Stock Chart
From Jul 2024 to Aug 2024
MFA Financial (NYSE:MFA)
Historical Stock Chart
From Aug 2023 to Aug 2024