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Dynex Capital, Inc. Announces Pricing of Common Stock Offering

^{Published on 2010-12-14 06:30:29 - Market Wire}
 

GLEN ALLEN, Va.--([ BUSINESS WIRE ])--Dynex Capital, Inc. (NYSE: DX) announced today that it priced a public offering of 6,000,000 shares of its common stock at a public offering price of $10.20 per share for total gross proceeds (before the underwriting discount and commissions and estimated expenses) of approximately $61.2 million. The Company has granted the underwriters an option for 30 days to purchase up to an additional 900,000 shares of common stock. The offering is subject to customary closing conditions and is expected to close on December17, 2010.

The Company intends to use the net proceeds from this offering to acquire additional investments, consistent with its investment policy, and for general corporate purposes, which may include, among other things, repayment of maturing obligations, capital expenditures and working capital.

JMP Securities LLC is the sole bookrunner for the offering and Sterne, Agee & Leach, Inc. is a co-manager for the offering.

The offering is being made pursuant to the Companya™s existing shelf registration statement previously filed with and declared effective by the Securities and Exchange Commission. This press release is neither an offer to sell nor a solicitation of an offer to buy shares of common stock. The offering of these securities will be made only by means of a prospectus and a related prospectus supplement, a copy of which may be obtained by contacting JMP Securities LLC, 600 Montgomery Street, 11th Floor, San Francisco, California, 94111 (Attention: Prospectus Department), (415) 835-8900.

Dynex Capital, Inc. is areal estate investment trust, or REIT, which invests in mortgage assets on a leveraged basis.The Companyinvests in Agency MBS, non-Agency MBS, and CMBS. The Companyalso has investments in securitized single-family residential and commercial mortgage loansoriginated by the Companyfrom 1992 to 1998. Additional information about Dynex Capital, Inc. is available at [ www.dynexcapital.com ].

Note: This release contains aforward-looking statementsa within the meaning of the Private Securities Litigation Reform Act of 1995. The words abelieve,a aexpect,a aforecast,a aanticipate,a aestimate,a aproject,a aplan,a and similar expressions identify forward-looking statements that are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. Forward-looking statements in this release include, without limitation, statements regarding intentions to offer shares of common stock and our future investment strategies. Dynexa™s actual results and timing of certain events could differ materially from those projected in or contemplated by the forward-looking statements as a result of unforeseen external factors. These factors may include, but are not limited to, changes in general economic and market conditions, including the ongoing volatility in the credit markets which impacts asset prices and the cost and availability of financing, defaults by borrowers, availability of suitable reinvestment opportunities, variability in investment portfolio cash flows, fluctuations in interest rates, fluctuations in property capitalization rates and values of commercial real estate, defaults by third-party servicers, prepayments of investment portfolio assets, other general competitive factors, uncertainty around government policy, the impact of regulatory changes, including the Emergency Economic Stabilization Act of 2008 and the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, the full impacts of which are unknown at this time, and the impact of Section 404 of the Sarbanes-Oxley Act of 2002. For additional information, see the Companya™s Annual Report on Form 10-K for the year ended December 31, 2009, and other reports filed with and furnished to the Securities and Exchange Commission.