Recently, the management of Colony Financial Inc (NYSE:CLNY) announced that they are offering a priced public offering of around 10,000,000 shares out of their entire common stock. To the under writers, the company also granted an option to purchase their additional 1,500,000 shares out of the entire stock. All the offerings being offered are subject to customary closing conditions and are expected to be closed on or before the month of November each month.
According to the last report made available related to the trading session of Colony Financial Inc the closing was done at $21.00 per share.
The management of the company is expecting to make use of a portion of the net proceeds which is going to be earned from these offerings for making the repayments of the outstanding payments. These outstanding payments include the revolving credit facility and also the remainder of the net proceeds would be used for acquiring the target assets for the better working of the organization. The target assets consist of the investment strategies and investment guidelines which would also be used for the working capital of the organization.
The offerings of the shares would be made under the effective shelf registration statement belonging to the company which has been filed with the Securities and Exchange Commission. Moreover, the offerings would only be made by the means of a prospectus supplement and a prospectus which has also been filed with the Securities and Exchange Commission. A copy of the prospectus supplement and prospectus which would be related to the offering would be kept with J.P. Morgan Securities LLC.
Colony Financial Inc is a real estate firm and also a finance company which is focused towards originating, acquiring and managing a diversified portfolio of the real estate firm and also debt and equity investment.
