NEW YORK--(BUSINESS WIRE)--
KKR Real Estate Finance Trust Inc. (NYSE:KREF) (“KREF”) today announced
that it intends to offer, subject to market and other conditions, $125.0
million aggregate principal amount of Convertible Senior Notes due 2023
(the “Notes”) in a private offering to qualified institutional buyers in
accordance with Rule 144A under the Securities Act of 1933, as amended
(the “Securities Act”). KREF also expects to grant to the initial
purchasers of the Notes an option to purchase up to an additional $18.75
million aggregate principal amount of the Notes during a 13-day period
beginning on, and including, the first date on which the Notes are
issued.
The Notes will be KREF’s senior unsecured obligations. The Notes will
mature on May 15, 2023, unless earlier repurchased or converted. KREF
will satisfy any conversion elections by paying or delivering, as the
case may be, cash, shares of its common stock or a combination of cash
and shares of its common stock, at its election. The interest rate, the
initial conversion rate and the other terms of the Notes will be
determined by negotiations between KREF and the initial purchasers of
the Notes.
KREF intends to use the net proceeds from the offering to acquire its
target assets in a manner consistent with its investment strategies and
investment guidelines.
The Notes and shares of KREF common stock issuable upon conversion, if
any, have not been and will not be registered under the Securities Act
or any state securities laws, and unless so registered, may not be
offered or sold except pursuant to an exemption from, or in a
transaction not subject to, the registration requirements of the
Securities Act and applicable state securities laws.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of, the
Notes in any jurisdiction in which such offer, solicitation or sale
would be unlawful prior to registration or qualification under the
securities laws of any such jurisdiction.
Certain matters discussed in this press release have "forward-looking
statements" intended to qualify for the safe harbor from liability
established by the Private Securities Litigation Reform Act of 1995.
Forward-looking statements generally can be identified by the use of
forward-looking terminology such as “assumptions”, “target”, “guidance”,
“outlook”, “plans”, “projection”, “may”, “will”, “would”, “should,”
“seeks,” “expect”, “intend”, “estimate”, “anticipate”, “believe”,
“potential” or “continue” (or the negative or other derivatives of each
of these terms) or similar expressions that concern KREF’s operations,
strategy, projections or intentions. These “forward-looking” statements
include statements relating to, among other things, the proposed
offering of the Notes, the anticipated terms of the Notes, the expected
use of the net proceeds from the offering, and KREF’s expectations
concerning market conditions for an offering of convertible notes.
Forward-looking statements are subject to a number of risks and
uncertainties, many of which involve factors or circumstances that are
beyond KREF’s control. These and other important risk factors are
discussed under the heading “Risk Factors” in KREF’s periodic reports
filed with the Securities and Exchange Commission, including, but not
limited to, KREF’s Annual Report on Form 10-K for the fiscal year ended
December 31, 2017. KREF’s actual results could differ materially from
those stated or implied in forward-looking statements. Except as
required by law, KREF undertakes no obligation to update or revise any
forward-looking statements KREF makes in its press releases, whether as
a result of new information, future events or otherwise.
View source version on businesswire.com: https://www.businesswire.com/news/home/20180515006456/en/
For KKR Real Estate Finance Trust Inc.
MEDIA:
Kristi
Huller or Cara Major, (212) 750-8300
[email protected]
or
INVESTOR
RELATIONS:
Sasha Hamilton, (212) 401-0447
[email protected]
Source: KKR Real Estate Finance Trust Inc.
