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NEW YORK - Franklin BSP Realty Trust, Inc. (NYSE: FBRT), a $887 million market cap REIT with a strong current ratio of 1.51, announced Thursday it has issued $107 million in unsecured senior notes through its operating partnership, FBRT OP LLC.
The private offering consists of $82 million in 8.25% fixed rate notes due April 25, 2030, and $25 million in floating rate notes due April 28, 2028, with an initial coupon of approximately 8.33%.
The company plans to use the proceeds for general corporate purposes, which may include funding part of its recently announced acquisition of NewPoint Holdings JV LLC. The company noted that the acquisition is not guaranteed to close and the notes issuance was not contingent on the completion of that transaction.
The notes were offered only to qualified institutional buyers and accredited investors under Rule 144A and Regulation D of the Securities Act, as well as to non-U.S. persons outside the United States under Regulation S. The notes are not initially registered under the Securities Act or state securities laws.
Franklin BSP Realty Trust is a real estate investment trust that manages a portfolio of commercial real estate debt secured by U.S. properties. As of March 31, the company reported approximately $5.7 billion in assets.
The information in this article is based on a company press release statement.
In other recent news, Franklin BSP Realty Trust reported its Q1 2025 earnings, revealing an earnings per share (EPS) of $0.20, which fell short of analysts’ expectations of $0.28. Revenue also missed projections, coming in at $50.11 million compared to the anticipated $52.21 million. These financial results highlight a notable miss in both earnings and revenue forecasts, contributing to investor concerns. The company remains optimistic about its strategic initiatives, including the acquisition of NewPoint, expected to close in early Q3 2025, which is anticipated to enhance its lending capabilities. Additionally, Franklin BSP Realty Trust held its annual stockholder meeting, where seven directors were elected to the board for one-year terms. Stockholders approved the ratification of PricewaterhouseCoopers LLP as the company’s independent registered public accounting firm for the fiscal year ending December 31, 2025. However, a proposal to eliminate supermajority voting requirements did not pass. These developments reflect the company’s ongoing efforts to navigate current challenges and enhance its strategic positioning.
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