Ready Capital Reopens Baby Bonds

Multi strategy REIT Ready Capital (RC) will reopen (sell more shares in a currently outstanding issue) their 6.20% baby bonds (RCB).

This issue was originally sold in July, 2019 and was most recently trading in the $25.59 area.

Disclousre–I own this issue and may take this opportunity to add a little more.

The selling price of the new issue has not been announced yet.

The preliminary prospectus can be found here.

4 thoughts on “Ready Capital Reopens Baby Bonds”

  1. I will only add more if RCP falls down to $25.40 range, in which it did right before the last interest payment. That was a nice gift. It is another good holding in which it is pinned in the current environment.

  2. Do you think they’re doing this so they can call RCP now or when it becomes callable without penalty in the Spring? On second thought, it doesn’t make a lot of sense to issue at 6.2% to call a 6.5% bond.

    1. From the press release: The Company intends to use the net proceeds from this offering to originate or acquire additional mortgage loans and mortgage-related assets consistent with its investment strategy and for general business purposes.

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