Sternlicht's Starwood prices $350 mln green notes deal; shares dip further

Starwood Property Trust (Maryland)

23/06/2023 13:37

** Shares of Starwood Property Trust Inc  STWD.N , led by
billionaire Barry Sternlicht, down 0.6% at $18.34 premarket
after convertible debt deal prices
    ** Commercial mortgage REIT late Thurs sold $350 mln 6.75%
4-yr convertible bonds
    ** Initial conversion price of $20.76 represents 12.5%
premium to stock's Thurs close
    ** STWD fell 5.1% to $18.45 on Thurs after co launched
offering to finance/refinance recently completed or future
eligible green and/or social projects
    ** Eligible projects include buildings that have received
green certifications, renewable energy, energy efficiency and
clean transportation (such as installation of EV charging
stations), per the prospectus filing
    ** STWD has ~$5.8 bln current market cap, per Refinitiv data
    ** Through Thurs close, shares up ~5% this month and trading
at 10.4% dividend yield
    ** Goldman Sachs, JP Morgan, Wells Fargo, Barclays, BofA and
Citigroup and Morgan Stanley serving as jt bookrunners for the
offering

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))