By a News Reporter-Staff News Editor at Investment Weekly News -- Newcastle Investment Corp. (NYSE:NCT) ("Newcastle" or the "Company") announced that it has completed the sale of 40,000,000 shares of its common stock. The gross proceeds from the sale were approximately $176 million. All of the shares were offered by the Company and were issued under the Company's existing effective shelf registration statement that was previously filed with the Securities and Exchange Commission. In addition, Newcastle announced that the underwriters have exercised in full their option to purchase an additional 5,925,000 shares, or 1,975,000 shares after giving effect to the Company's 3-for-1 reverse stock split (the "Option Shares"). The purchase of the Option Shares is expected to be completed Thursday, August 21, 2014, subject to customary closing conditions, for additional gross proceeds of approximately $26 million.
The Company intends to use the net proceeds from this offering primarily to acquire senior housing properties.
Citigroup, BofA Merrill Lynch and Credit Suisse Securities (USA) LLC acted as joint book-running managers for the offering. Certain of the Company's officers and directors purchased an aggregate of 500,000 shares of common stock directly from the Company in the offering.
Keywords for this news article include: Investment and Finance, Newcastle Investment Corp.
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