Ready Capital Prices $225M Notes, Redeems $350M 2026 Debt
RC sits 18% above its 52-week low of $1.39.
Summary
Ready Capital priced $225 million of 10.00% senior secured notes due 2031 and announced full redemption of its $350 million 4.50% notes due 2026. The new notes carry a significantly higher coupon, reflecting the company's current credit profile. This refinancing reduces near-term maturity pressure but increases interest expense. The move follows a Q2 net loss of $99.68 million and a book value decline to $6.83 per share, indicating ongoing balance sheet stress. The redemption will be funded by the new notes and available liquidity.
At the time of this announcement, RC was trading at $1.64 on NYSE in the Finance sector, with a market capitalization of approximately $269.3M. The 52-week trading range was $1.39 to $4.43. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: Seeking Alpha.