Apollo Residential Mortgage, Inc. Announces Pricing of $150 Million of 8.00% Perpetual Preferred Stock Offering
NEW YORK, NY -- (Marketwire) -- 09/13/12 -- Apollo Residential Mortgage, Inc. (the "Company" or "AMTG") (NYSE: AMTG) today announced the Company sold 6,000,000 shares of 8.00% Series A Cumulative Redeemable Perpetual Preferred Stock (the "Series A Preferred Stock") with a liquidation preference of $25 per share. In addition, the Company has granted the underwriters a 30-day option to purchase an additional 900,000 shares of the Series A Preferred Stock on the same terms and conditions. The offering is expected to close on or about September 20, 2012, subject to customary closing conditions. Morgan Stanley, UBS Investment Bank and J.P. Morgan are the joint book-running managers for the offering. Credit Suisse Securities (USA) LLC, RBC Capital Markets, Stifel Nicolaus Weisel, and JMP Securities are the co-managers for the offering.
The Company estimates the net proceeds from the offering, after the underwriting discounts and commissions and estimated offering expenses payable by the Company, will be approximately $144.8 million, or approximately $166.6 million if the underwriters' option to purchase additional shares is exercised in full. The Company intends to use the net proceeds from this offering to acquire Agency residential mortgage backed securities ("RMBS"), non-Agency RMBS and other residential mortgage assets included in the Company's investment strategy.
A registration statement relating to these securities has been declared effective by the Securities and Exchange Commission. The offering will be made only by means of a prospectus supplement and prospectus, which have been filed with the Securities and Exchange Commission. A copy of the prospectus supplement and prospectus related to the offering can be obtained from: Morgan Stanley Prospectus Department, 180 Varick Street, 2nd Floor, New York, NY 10014, by calling Morgan Stanley at (866) 718-1649, or by emailing: email@example.com; UBS Securities LLC, 299 Park Avenue, New York, NY 10171, Attention: Prospectus Specialist, or by calling UBS Investment Bank at 877-827-6444, ext. 561-3884; and J.P. Morgan Securities LLC, 383 Madison Avenue, New York, NY 10179, Attention: Investment Grade Syndicate Desk - 3rd Floor, or by calling J.P. Morgan at 212-834-4533.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of any 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 Apollo Residential Mortgage, Inc.
Apollo Residential Mortgage, Inc. (NYSE: AMTG) is a real estate investment trust that invests in and manages residential mortgage-backed securities and other residential mortgage assets throughout the United States. The Company is externally managed and advised by ARM Manager, LLC, a Delaware limited liability company and an indirect subsidiary of Apollo Global Management, LLC (APO), a leading global alternative investment manager with approximately $105 billion of assets under management at June 30, 2012.
The Company maintains a website at www.apolloresidentialmortgage.com.
Certain statements contained in this press release constitute forward-looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are intended to be covered by the safe harbor provided by the same. Forward-looking statements are subject to substantial risks and uncertainties, many of which are difficult to predict and are generally beyond the Company's control. These forward-looking statements include information about possible or assumed future results of the Company's business, financial condition, liquidity, results of operations, plans and objectives. When used in this release, the words "believe," "expect," "anticipate," "estimate," "plan," "continue," "intend," "should," "may" or similar expressions, are intended to identify forward-looking statements. Statements regarding the following subjects, among others, may be forward-looking: the return on equity; the yield on investments; the ability to borrow to finance assets; and risks associated with investing in real estate assets, including changes in business conditions and the general economy. For a further list and description of such risks and uncertainties, see the reports filed by the Company with the Securities and Exchange Commission. The forward-looking statements, and other risks, uncertainties and factors are based on the Company's beliefs, assumptions and expectations of its future performance, taking into account all information currently available to the Company. Forward-looking statements are not predictions of future events. The Company disclaims any intention or 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.
CONTACT: Hilary Ginsberg Investor Relations (212) 822-0767
Source: Apollo Residential Mortgage, Inc.