American Capital Mortgage Investment Corp. Announces Launch of Initial Public Offering
American Capital Mortgage Investment Corp. announced today that it plans to conduct an initial public offering of its common stock. The Company expects to offer 17,500,000 shares to the public at the proposed initial public offering price of $20.00 per share, for estimated net proceeds of $349 million. The Company will grant the underwriters a 30-day option to purchase up to an additional 2,625,000 shares of common stock at the initial public offering price to cover over-allotments, if any. The completion of the proposed offering depends upon several factors, including market and other conditions.
Concurrently with the Company's initial public offering, American Capital, Ltd. ("American Capital") (Nasdaq: ACAS) expects to purchase $25 million (or 1,250,000 shares) of the Company's common stock at the initial public offering price in a private placement.
The Company plans to use all of the net proceeds of the initial public offering and the concurrent private placement to invest in agency mortgage investments, non-agency mortgage investments and other mortgage-related investments.
Citi, Deutsche Bank Securities, UBS Securities LLC and Wells Fargo Securities, LLC are the joint book-runners for the offering. JMP Securities LLC, Mitsubishi UFJ Securities, Nomura Securities International, Inc. and RBC Capital Markets are co-managers for the offering.
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