Starwood Property Trust Announces Pricing of Common Stock Offering

MIAMI BEACH, Fla., July 16, 2025 /PRNewswire/ -- Starwood Property Trust, Inc. (NYSE: STWD) (the "Company") today announced the pricing of an underwritten public offering of 25,500,000 shares of its common stock for total estimated gross proceeds of approximately $508 million (or approximately $584 million if the option to purchase additional shares is exercised in full). The underwriters have a 30-day option from the date of the offering to purchase up to an additional 3,825,000 shares from the Company.  Settlement of the offering is subject to customary closing conditions and is expected to occur on July 18, 2025. 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 fund a portion of the purchase price for the Company's recently announced pending acquisition of Fundamental Income Properties, LLC. The Company may also use a portion of the net proceeds (or all of the net proceeds, in the unlikely event the acquisition does not close) to originate and purchase commercial mortgage loans and other target assets and investments, or for other general corporate purposes, including, but not limited to, the repayment of outstanding indebtedness under the Company's repurchase facilities.

BofA Securities and Wells Fargo Securities are serving as underwriters 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: BofA Securities, NC1-022-02-25, 201 North Tryon Street, Charlotte, North Carolina 28255-0001, Attn: Prospectus Department, email: [email protected]; or Wells Fargo Securities, 90 South 7th Street, 5th Floor, Minneapolis, Minnesota 55402, email: [email protected], telephone: 1-800-645-3751 (option #5).

This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, these securities, nor shall there be any sale of these securities in any state or 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 jurisdiction.

About Starwood Property Trust, Inc.

Starwood Property Trust (NYSE: STWD) is a leading diversified finance company with a core focus on the real estate and infrastructure sectors. An affiliate of global private investment firm, Starwood Capital Group, the Company has successfully deployed $108 billion of capital since inception and manages a portfolio of $27.5 billion across debt and equity investments. Starwood Property Trust's investment objective is to generate attractive and stable returns for shareholders, primarily through dividends, by leveraging a premiere global organization to identify and execute on the best risk-adjusted returning investments across its target assets.

Forward-Looking Statements

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, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements with respect to the anticipated settlement of the offering and the use of proceeds. 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, 2024 and its Quarterly Report on Form 10-Q for the quarter ended March 31, 2025, including those set forth under the captions "Risk Factors", "Business", and "Management's Discussion and Analysis of Financial Condition and Results of Operations"; (ii) satisfaction or waiver of the conditions precedent to the consummation of the contemplated acquisition; (iii) unanticipated difficulties or expenditures relating to, or the failure to realize the benefits of, the contemplated acquisition, including in terms of the contemplated acquisition on our future performance; (iv) the Company's recently announced preliminary unaudited results for the three months ended June 30, 2025 are based upon the Company's estimates, are subject to completion of the Company's quarterly financial closing procedures and have not been reviewed by the Company's independent auditors; such preliminary unaudited results may differ materially from the Company's actual results and may be outside estimated ranges; (v) defaults by borrowers in paying debt service on outstanding indebtedness; (vi) impairment in the value of real estate property securing the Company's loans or in which the Company invests; (vii) availability of mortgage origination and acquisition opportunities acceptable to the Company; (viii) potential mismatches in the timing of asset repayments and the maturity of the associated financing agreements; (ix) national and local economic and business conditions, including as a result of the impact of public health emergencies; (x) the occurrence of certain geo-political events (such as wars, terrorist attacks and tensions between states, including global trade disputes related to tariffs) that affect the normal and peaceful course of international relations; (xi) general and local commercial and residential real estate property conditions; (xii) changes in federal government policies; (xiii) changes in federal, state and local governmental laws and regulations; (xiv) increased competition from entities engaged in mortgage lending and securities investing activities; (xv) changes in interest rates; and (xvi) the availability of, and costs associated with, sources of liquidity.

Contact:

Zachary Tanenbaum
Starwood Property Trust
Phone: 203-422-7788
Email: [email protected]

SOURCE Starwood Property Trust, Inc.