Underwriters have an option for 30 days to purchase up to an additional 750,000 common and, subject to customary closing conditions, the offering is slated to close May 14.
Bank of America Merrill Lynch, Deutsche Bank, Credit Suisse and UBS are acting as joint book-running managers, offering the shares through the New York Stock Exchange, through negotiated transactions, in the over-the-counter market, or otherwise. Keefe, Bruyette & Woods and JMP are co-managers.
Ellington said the assets it would buy would be residential MBS for which the principal and interest payments are guaranteed by a U.S. government agency or a U.S. government-sponsored enterprise. The company may also use the net proceeds for working capital and general corporate purposes.
Other recent pricings have included Capstead Mortgage Corp.’s public offering of 6 million shares of 7.5% Series E cumulative redeemable preferred stock with a liquidation preference of $25 per share, for gross proceeds of $150 million before underwriting discount and estimated expenses.
Capstead intends to use the net proceeds and cash on hand as necessary and deemed prudent to redeem all or a portion of the company’s outstanding Series A preferred stock and Series B preferred stock and/or for general corporate purposes.
Morgan Stanley and UBS are serving as joint book-running managers on that offering. KBW and RBC are serving as joint lead managers. JMP and Mitsubishi UFJ are serving as co-managers.
Subject to customary closing conditions, this offering is slated to close on or about May 13.
