Rithm Property Trust drops after beginning $300 mln share offering
RPT•Use of proceeds and deal details
RPT intends to use net proceeds from the transactions to acquire a portfolio of multifamily residential transition loans from RITM, and for other investments and general purposes.
Goldman Sachs, RBC, UBS, Wells Fargo, BTIG, KBW and Piper Sandler are joint bookrunners.
RPT has about 7.8 million shares outstanding for a market cap of roughly $110 million.
At Monday's close, the shares were down about 16% year to date.
The average rating of four brokerages is "buy"; median price target is $24, according to LSEG data.
Shares fall after equity raise begins
Mortgage REIT Rithm Property Trust's RPT.N shares were down 3.4% at $13.50 before the bell on Tuesday as it seeks an equity raise.
New York City-based RPT late Monday kicked off a $300 million stock offering, according to the prospectus filing.
To the extent offering proceeds are less than $300 million, an affiliate of Rithm Capital RITM.N, RPT's external manager, indicated interest in purchasing $200 million of shares in a concurrent private placement.
