Latest news with #FundamentalIncomeProperties
Yahoo
18-07-2025
- Business
- Yahoo
Starwood Property (STWD) Falls on $2.2-Billion Acquisition of Fundamental Income
We recently published . Starwood Property Trust, Inc. (NYSE:STWD) is one of the worst-performing companies on Thursday. Starwood Property declined by 5.47 percent on Thursday to end at $19.71 apiece as investors shunned news that it was acquiring a net-lease firm for $2.2 billion. In a statement, Starwood Property Trust, Inc. (NYSE:STWD) said it entered into a definitive agreement to acquire Fundamental Income Properties, LLC from Brookfield Asset Management. Fundamental Income operates a vertically integrated net lease real estate investment business, with 467 properties across its portfolio spanning 12 million square feet across 44 states, 56 industries, and 92 tenants. 'When we went public in 2009, we said we would create a diversified company around the areas of expertise of our Manager, Starwood Capital. With the addition of another business cylinder, we are expanding into another proven, scalable segment with strong synergies with our platform. Our core commercial real estate lending business is now approximately half of our asset base as we have strategically expanded into complementary lending and investing verticals,' said Barry Sternlicht, Chairman and CEO of Starwood Property Trust, Inc. (NYSE:STWD). A sky high view of the corporate headquarters indicating the large scale of the company. Following the acquisition, the company announced the distribution of dividends worth $0.48 per share for shareholders as of September 30 record date. The dividends will be payable on October 15, 2025. While we acknowledge the potential of STWD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the . READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
17-07-2025
- Business
- Yahoo
Why Starwood Property Trust (STWD) Shares Are Sliding Today
What Happened? Shares of commercial real estate lender Starwood Property Trust (NYSE:STWD) fell 4.5% in the afternoon session after the company priced a public offering of 25.5 million shares of its common stock. The offering is expected to raise approximately $508 million in gross proceeds, which could increase to around $584 million if the underwriters exercise their option to purchase an additional 3.8 million shares. This move often leads to a temporary drop in a stock's price because the issuance of new shares can dilute the ownership stake of existing shareholders. Starwood intends to use the net proceeds to partially fund its recently announced $2.2 billion acquisition of Fundamental Income Properties, a net lease real estate platform. The remainder of the acquisition will be funded through a combination of cash and debt. While the acquisition is expected to be accretive to distributable earnings, the immediate impact of the stock offering is shareholder dilution. The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks. Is now the time to buy Starwood Property Trust? Access our full analysis report here, it's free. What Is The Market Telling Us Starwood Property Trust's shares are not very volatile and have only had 3 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business. Starwood Property Trust is up 3.5% since the beginning of the year, and at $19.72 per share, it is trading close to its 52-week high of $21.11 from September 2024. Investors who bought $1,000 worth of Starwood Property Trust's shares 5 years ago would now be looking at an investment worth $1,342. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link.
Yahoo
16-07-2025
- Business
- Yahoo
Starwood Property to buy Fundamental Income Properties for about $2.2 billion
(Reuters) -Starwood Property Trust said on Wednesday it would acquire real estate operating platform Fundamental Income Properties for about $2.2 billion. The deal — which consists of 467 properties across 44 states — will be funded with cash on hand, alongside debt and equity capital, with Starwood assuming Fundamental's existing financing facilities totaling $1.3 billion. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
