Broadmark Realty jumps on merger plans with Ready Capital

Ready Capital

27/02/2023 12:51

** Shares of real estate investment trust (REIT) Broadmark
Realty Capital Inc  BRMK.N  up 27% at $5.25 premarket
    ** Stock on track to hit a three-month high, if gains hold
    ** BRMK to merge with real estate finance firm Ready Capital
Corp  RC.N  to form the fourth-largest commercial mortgage REIT
with a capital base of $2.8 bln
    ** Upon closing of merger, RC shareholders expected to own
~64% of the combined entity's shares; to operate under the name
"Ready Capital Corp"
    ** RC shares down 12% at $11 premarket
    ** Meanwhile, BRMK posts lower-than-expected Q4 and 2022
revenue and EPS - Refinitiv
    ** Four analysts rate BRMK "hold", 1 "sell"; median PT $4.38
    ** So far this year, Broadmark shares up 18%, RC up 12%


 (Reporting by Ankika Biswas in Bengaluru)
 ((Ankika.Biswas@thomsonreuters.com))