Contact Information: Contact: Resource Capital Corp. Marketing and Investor Relations
Resource Capital Corp. Announces Common Stock Follow-On Offering
| Source: Resource Capital Corp.
PHILADELPHIA, PA--(Marketwire - November 30, 2009) - Resource Capital Corp. (NYSE : RSO ) (the
"Company") announced today that it intends to offer approximately $50
million of its common stock in an underwritten public offering. FBR
Capital Markets & Co. will act as sole book-running manager and JMP
Securities LLC will act as co-manager for this offering. The underwriters
will have a 30-day option to purchase up to an additional 15% of the
offered amount of common stock from the Company to cover overallotments, if
any. The shares will be issued pursuant to a prospectus supplement filed
as part of an existing shelf registration statement filed with the
Securities and Exchange Commission (the "SEC") which was declared effective
on June 6, 2008.
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.
Any offer or sale will be made only by means of the written prospectus
forming part of the effective registration statement. A registration
statement relating to these securities has been filed and is effective. A
written prospectus for the offering meeting the requirements of Section 10
of the Securities Act of 1933 (other than a free writing prospectus as
defined in the Securities Act Rule 405) may be obtained from FBR Capital
Markets & Co. at (703) 496-1023 or by emailing Todd Davis of FBR Capital
Markets & Co. at tdavis@fbr.com.
About Resource Capital Corp.
Resource Capital Corp. is a commercial real estate specialty finance
company that qualifies as a real estate investment trust ("REIT") for U.S.
federal income tax purposes. The Company's investment strategy focuses on
commercial real estate-related assets and, to a lesser extent,
higher-yielding commercial finance assets. The Company invests in the
following asset classes: commercial real estate-related assets such as
whole loans,
A-notes, B-notes, mezzanine loans and mortgage-related securities and
commercial finance assets such as other asset-backed securities, senior
secured corporate loans, equipment leases and notes, trust preferred
securities, and debt tranches of collateralized debt obligations.
Resource Capital Corp. is externally managed by Resource Capital Manager,
Inc., an indirect wholly owned subsidiary of Resource America, Inc.
(NASDAQ : REXI ), a specialized asset management company that uses industry
specific expertise to generate and administer investment opportunities for
its own account and for outside investors in the commercial finance, real
estate and financial fund management sectors.
This press release contains forward-looking statements that involve risks
and uncertainties. These forward-looking statements are not historical
facts but rather are based on current beliefs, assumptions and
expectations. These beliefs, assumptions and expectations can change as a
result of many possible events or factors, not all of which are known to
the Company or are within its control. If a change occurs, the business,
financial condition, liquidity and results of operations of the Company may
vary materially from those expressed in its forward-looking statements. You
should not place undue reliance on these forward-looking statements, which
reflect the Company's view only as of the date of this press release, and
it undertakes no obligation to update these forward-looking statements in
the future. The Company uses words such as "anticipate," "expect,"
"intend," "plan," "believe," "seek," "estimate," and variations of these
words and similar expressions to identify forward-looking statements.
Forward-looking statements are subject to various risks and uncertainties
that could cause actual results to vary from the Company's forward-looking
statements, including: changes in its industry, interest rates, the debt
securities markets, real estate markets or the general economy; increased
rates of default and/or decreased recovery rates on its investments; the
performance and financial condition of its borrowers; the cost and
availability of its financings, which depends in part on its asset quality,
the nature of its relationships with its lenders and other capital
providers, its business prospects and outlook and general market
conditions; the availability and attractiveness of terms of additional debt
repurchases; availability, terms and deployment of short-term and long-term
capital; availability of, and ability to retain, qualified personnel;
changes in governmental regulations, tax rates and similar matters; the
success or failure of its efforts to implement its current business
strategy; availability of investment opportunities in commercial real
estate-related and commercial finance assets; the resolution of its
non-performing and sub-performing assets; its ability to comply with
financial covenants in its debt instruments; the degree and nature of its
competition; the adequacy of its cash reserves and working capital; the
timing of cash flows, if any, from its investments; unanticipated increases
in financial and other costs, including a rise in interest rates; its
ability to maintain compliance with over-collateralization and interest
coverage tests in its collateralized debt obligations, its dependence on
its manager and ability to find a suitable replacement in a timely manner,
or at all, if either the Company or its manager were to terminate the
management agreement; legislative and regulatory changes (including changes
to laws governing the taxation of REITs, or the exemptions from
registration as an investment company); environmental and/or safety
requirements; its ability to satisfy complex rules in order for us to
qualify as a REIT, for federal income tax purposes and qualify for its
exemption under the Investment Company Act of 1940, as amended and its
ability and the ability of its subsidiaries to operate effectively within
the limitations imposed by these rules; the continuing threat of terrorist
attacks on the national, regional and total economies; and other factors
discussed under Item IA. Risk Factors of the Company's Annual Report on
Form 10-K for the year ended December 31, 2008 and those factors that may
be contained in any filing it makes with the SEC. The Company undertakes no
obligation to publicly update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise. In
light of these risks and uncertainties, the forward-looking events and
circumstances discussed in this press release might not occur and actual
results, performance or achievement could differ materially from that
anticipated or implied in the forward-looking statements.