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RAIT Financial Trust Announces Public Offering of $100 Million Convertible Senior Notes Due 2031

^{Published on 2011-03-14 04:21:17 - Market Wire}
 

PHILADELPHIA--([ BUSINESS WIRE ])--RAIT Financial Trust (aRAITa) (NYSE: RAS) today announced that it has commenced a public offering of $100 million aggregate principal amount of Convertible Senior Notes due 2031 (the aNotesa). The company expects to grant the underwriter an option to purchase up to an additional $15 million aggregate principal amount of the Notes solely to cover over-allotments. BofA Merrill Lynch is acting as sole book-running manager for the offering.

RAIT currently intends to use the net proceeds from the Notes offering to repay certain indebtedness and for general trust purposes including working capital.

The registration statement pursuant to which this offering is being made is effective pursuant to the Securities Act of 1933. Offers and sales of the Notes may be made only by the prospectus and related prospectus supplement, which, when available, may be obtained from BofA Merrill Lynch, 4 World Financial Center, New York, NY 10080, Attn: Prospectus Department or email [ dg.prospectus_requests@baml.com ].

This press release does not constitute an offer to sell or a solicitation of an offer to buy the Notes, nor does it constitute an offer, solicitation or sale of the Notes in any jurisdiction in which such offer, solicitation or sale is unlawful.

About RAIT Financial Trust

RAIT Financial Trust manages a portfolio of real estate related assets, provides a comprehensive set of debt financing options to the real estate industry and invests in real estate related assets. RAIT's management uses its experience, knowledge and relationship network to seek to generate and manage real estate related investment opportunities for RAIT and for outside investors.

Forward-Looking Statements and Disclosures

This press release may contain certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements can generally be identified by our use of forward-looking terminology such as "may," "will," "expect," "intend," "anticipate," "estimate," "believe," "continue," or other similar words. Because such statements include risks, uncertainties and contingencies, actual results may differ materially from the expectations, intentions, beliefs, plans or predictions of the future expressed or implied by such forward-looking statements. These risks, uncertainties and contingencies include, but are not limited to: risks disclosed in the prospectus and prospectus supplement related to this offering and in our annual report on Form 10-K for the fiscal year ended December 31, 2010 filed with the SEC; the current uncertainty in the global financial markets and the global economy; disruptions in the financial markets that could affect RAITa™s ability to complete this offering or obtain additional financing and our ability to repay any of our indebtedness. Statements in this press release should be evaluated in light of these important factors. RAIT is under no obligation to, and expressly disclaims any such obligation to, update or alter its forward-looking statements, whether as a result of new information, future events, or otherwise.