GREENWICH, Conn., April 9, 2013 /PRNewswire/ -- Starwood Property Trust, Inc. (NYSE: STWD) (the "Company") today announced the pricing of an underwritten public offering of 26,500,000 shares of its common stock for total estimated gross proceeds of approximately $723.5 million (or approximately $832.0 million if the option to purchase additional shares is exercised in full). The underwriters have a 30-day option to purchase up to an additional 3,975,000 shares from the Company. Settlement of the offering is subject to customary closing conditions and is expected to occur on April 12, 2013. All of the shares will be issued under the Company's currently effective shelf registration statement filed with the Securities and Exchange Commission.
The Company intends to use the net proceeds received from the offering to originate and purchase additional commercial mortgage loans and other target assets and investments. Depending upon the timing of the closing of those transactions, the closing of the Company's acquisition of certain business segments of LNR Property LLC ("LNR"), and the Company's receipt of funds from asset repayments, sales of assets or other financings, the Company may utilize a portion of the net proceeds to fund a portion of the purchase price of LNR. The Company may also use a portion of the net proceeds for other general corporate purposes, including, but not limited to, the payment of liabilities and other working capital needs.
Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc. and Wells Fargo Securities, LLC are acting as joint book-running managers for the offering.
The offering of these securities may be made only by means of a prospectus and a related prospectus supplement, a copy of which may be obtained by contacting: Credit Suisse Securities (USA) LLC, One Madison Avenue, New York, New York 10010, Attention: Prospectus Department, Telephone: (800) 221-1037, Email: firstname.lastname@example.org; Deutsche Bank Securities Inc., 60 Wall Street, New York, New York 10005-2836, Attention: Prospectus Group, by calling (800) 503-4611, or by emailing email@example.com; or Wells Fargo Securities, LLC, 375 Park Avenue, New York, NY 10152, Attention: Equity Syndicate Dept., (800) 326-5897 or firstname.lastname@example.org.
This press release shall not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any state.
About Starwood Property Trust, Inc.
Starwood Property Trust, Inc. focuses primarily on originating, investing in, financing and managing commercial mortgage loans and other commercial and residential real estate-related debt investments. Starwood Property Trust, Inc. is externally managed and advised by SPT Management, LLC, an affiliate of Starwood Capital Group, and has elected to be taxed as a real estate investment trust for U.S. federal income tax purposes.
Statements in this press release which are not historical fact may be deemed forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Although the Company believes the expectations reflected in any forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from the Company's expectations include (i) factors described in the Company's Annual Report on Form 10-K for the year ended December 31, 2012, including those set forth under the captions "Risk Factors" and "Business," and in the Company's other periodic reports filed with the Securities and Exchange Commission, including the risk factors described in the Company's Current Report on Form 8-K filed on February 11, 2013; (ii) defaults by borrowers in paying debt service on outstanding indebtedness; (iii) impairment in the value of real estate property securing the Company's loans; (iv) availability of mortgage origination and acquisition opportunities acceptable to the Company; (v) the Company's ability to complete the pending acquisition of LNR and the performance of LNR subsequent to the acquisition; (vi) the Company's ability to integrate LNR into its business and achieve the benefits that the Company anticipates from the acquisition of LNR; (vii) potential mismatches in the timing of asset repayments and the maturity of the associated financing agreements; (viii) national and local economic and business conditions; (ix) general and local commercial real estate and residential property conditions; (x) changes in federal government policies; (xi) changes in federal, state and local governmental laws and regulations; (xii) increased competition from entities engaged in mortgage lending; (xiii) changes in interest rates; (xiv) changes in the exchange rates between the U.S. dollar and the respective currencies for the Company's non-dollar denominated investments; and (xv) the availability of and costs associated with sources of liquidity.
Contact: Investor Relations
SOURCE Starwood Property Trust, Inc.