Sachem Capital Coming to the Market Again

Once again Sachem Capital (SACH) is coming to market with a new not offering with a maturity date in 2027.

The company had just done a note offering on 3/4/2022 with a coupon of 6.00%.

Sachem has many note offerings outstanding as well as 1 preferred issue which can be seen here.

The preliminary prospectus for the new offering can be seen here.

Fabrib was on top of this one with E and Azureblue chipping in.

4 thoughts on “Sachem Capital Coming to the Market Again”

  1. BRANFORD, Conn., May 06, 2022 (GLOBE NEWSWIRE) — Sachem Capital Corp. (NYSE American: SACH) announces the pricing of a registered public offering of $27.5 million aggregate principal amount of 7.125% unsecured, unsubordinated notes due five years from the date of issuance (“Notes”). The net proceeds of the offering to Sachem Capital Corp. (SACH) are expected to be approximately $26.3 million after payment of underwriting discounts and commissions and estimated offering expenses payable by the company.

    The offering is expected to close on May 11, 2022, subject to customary closing conditions. The company has granted the underwriters a 30-day option to purchase up to an additional $4.125 million aggregate principal amount of Notes to cover over-allotments, if any.

    The Notes will rank pari passu with all the company’s unsecured, unsubordinated indebtedness, whether currently outstanding or issued in the future. The Notes are expected to be listed on the NYSE American under the trading symbol “SCCF” and begin to trade on or about May 12, 2022.

    The Notes will mature on June 30, 2027, and may be redeemed, in whole or in part, at any time, or from time to time, at the company’s option on or after May 11, 2024. Interest on the Notes will accrue at the annual rate of 7.125% and will be payable quarterly, in arrears, on each March 30, June 30, September 30 and December 30 that the Notes are outstanding, beginning on September 30, 2022.

    The Notes are rated BBB+ by Egan-Jones Ratings Company, an independent, unaffiliated rating agency. Egan-Jones is a Nationally Recognized Statistical Ratings Organization and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider. Egan-Jones is also certified by the European Securities and Markets Authority. A securities rating is not a recommendation to buy, sell or hold securities and may be subject to revision or withdrawal at any time.

  2. USE OF PROCEEDS
    We intend to use the net proceeds from the sale of the Notes offered under this Prospectus Supplement for working capital and general corporate purposes, i.e., to fund new real estate loans secured by first mortgage liens. Pending such use, the net proceeds from the sale of the Notes may be temporarily invested in short-term government securities and other low risk investments.

  3. Looks like it’s coming in at 7.125% from original price talk of 6.875%-7.0%. SCCE has trade down to $24 which leaves the YTM on this prior issue at about 7.25% for a three month shorter maturity.

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