Summary
FTAI Aviation Ltd. (FTAI) announced on March 19, 2021, that it entered into an underwriting agreement to conduct a registered public offering of 4,000,000 of its 8.25% Fixed-Rate Reset Series C Cumulative Perpetual Redeemable Preferred Shares. The offering is priced at $25.00 per share, with the company also granting underwriters a 30-day option to purchase up to an additional 600,000 preferred shares. The company expects to utilize the net proceeds from this offering for general corporate purposes, including future acquisitions and investments, with a specific mention of aviation investments. This move indicates FTAI's strategy to raise capital to fuel its growth initiatives. The preferred shares carry a fixed dividend rate that can be reset, offering a degree of flexibility. Investors should note the planned use of proceeds, which suggests potential expansion and further diversification within the aviation sector. The offering is expected to close on March 25, 2021.
Key Highlights
- 1FTAI Aviation Ltd. is conducting a public offering of 4,000,000 Series C Cumulative Perpetual Redeemable Preferred Shares.
- 2The preferred shares have a fixed dividend rate of 8.25% and a liquidation preference of $25.00 per share.
- 3Underwriters have been granted a 30-day option to purchase an additional 600,000 preferred shares.
- 4The offering is expected to generate significant capital for general corporate purposes.
- 5Proceeds are earmarked for future acquisitions and investments, particularly within the aviation sector.
- 6The offering is scheduled to close on March 25, 2021.
- 7FIG LLC, the Manager, will receive options to purchase company common shares equal to 10% of the gross capital raised.