Newcastle Completes Sale Of 40 Mln Shares For $176 Mln

(RTTNews) - Newcastle Investment Corp. (NCT) Monday said it has completed the sale of 40 million shares of its common stock, for gross proceeds of around $176 million. All of the shares were offered by the company.

In addition, Newcastle said the underwriters exercised in full their option to purchase an additional 5.93 million shares, or 1.98 million shares after giving effect to the company's 3-for-1 reverse stock split.

The purchase of the option shares is expected to be completed by August 21, for additional gross proceeds of about $26 million.

The company intends to use the net proceeds from this offering primarily for acquiring senior housing properties.

Some of the company's officers and directors purchased an aggregate of 500,000 shares of common stock directly from the company in the offering.

Citigroup, BofA Merrill Lynch and Credit Suisse Securities (USA) LLC acted as joint book-running managers for the offering.