Brief: Ellington Financial And Great Ajax Announce Definitive Merger Agreement

Ellington Financial

03/07/2023 11:51

July 3 (Reuters) - Great Ajax Corp  AJX.N :
    * ELLINGTON FINANCIAL AND GREAT AJAX CORP. ANNOUNCE
DEFINITIVE
MERGER AGREEMENT
    * GREAT AJAX CORP - UNDER DEAL ETRMS, EACH SHARE OF GREAT
AJAX
COMMON STOCK WILL BE CONVERTED INTO 0.5308 SHARESOF ELLINGTON
FINANCIAL COMMON STOCK
    * GREAT AJAX CORP - SYNERGISTIC EXPANSION EXPECTED TO DRIVE
EARNINGS ACCRETION AND LONG-TERM GROWTH
    * GREAT AJAX - UPON COMPLETION OF DEAL, ELLINGTON
FINANCIAL'S
CHIEF EXECUTIVE OFFICER AND PRESIDENT, LAURENCE PENN, WILL
CONTINUE TO LEAD COMBINED CO
    * GREAT AJAX CORP - ELLINGTON FINANCIAL STOCKHOLDERS ARE
EXPECTED
TO OWN APPROXIMATELY 84% OF COMBINED COMPANY'S STOCK
    * GREAT AJAX CORP - ELLINGTON FINANCIAL WILL ASSUME GREAT
AJAX'S
OUTSTANDING SENIOR UNSECURED NOTES AND CONVERTIBLE SENIOR NOTES
    * GREAT AJAX - UNDER DEAL TERMS, ELLINGTON FINANCIAL'S STOCK
CLOSING PRICE ON NYSE ON JUNE 30, IMPLIES OFFER PRICE OF
$7.33/SHARE OF CO'S COMMON STOCK
    * GREAT AJAX - COMBINED CO TO OPERATE AS "ELLINGTON
FINANCIAL
INC." AND SHARES WILL CONTINUE TO TRADE ON NYSE UNDER TICKER
SYMBOL, "EFC"
    * GREAT AJAX - ELLINGTON FINANCIAL EXPECTS TO ROTATE OUT OF
SELECTED LOWER-YIELDING GREAT AJAX ASSETS AND REDEPLOY CAPITAL
IN HIGHER-YIELDING STRATEGIES

Source text for Eikon:  ID:nBw2h5m4Wa 
Further company coverage:  AJX.N 

 (Reuters.Briefs@thomsonreuters.com)