Starwood Property Trust's Sustainability Bonds Lead Green Investment
Starwood Property Trust Announces Sustainability Bond Offering
Starwood Property Trust, Inc. (the "Company") has recently made an exciting announcement regarding its latest financial initiative. The Company has priced a private offering of $500 million in aggregate principal amount of its 5.250% unsecured senior notes due in 2028 (the "Notes"). This offering is a significant step towards supporting sustainability and responsible investing.
Details of the Offering
The impressive coupon rate of 5.250% is aligned with a 168 basis point spread over the three-year US Treasury bond. These Notes are priced at 100.0% of the principal value, with the anticipated settlement taking place on October 6, 2025, pending customary closing conditions.
Purpose of Fund Allocation
Starwood Property Trust plans to allocate the net proceeds from this offering towards financing or refinancing various eligible green and social projects. This allocation is intended both for future projects and for repaying outstanding debts associated with previous initiatives. This strategic focus underscores the Company’s commitment to sustainable practices while ensuring fiscal responsibility.
Qualified Buyers and Regulatory Considerations
The Notes in this offering were exclusively available to individuals believed to be qualified institutional buyers under Rule 144A of the Securities Act of 1933, as amended. Additionally, non-U.S. persons outside the United States were able to purchase these Notes under Regulation S. It is important to note that these Notes will not be registered under the Securities Act or any state securities laws, further emphasizing the offering’s private nature.
About Starwood Property Trust
Starwood Property Trust, listed as STWD, operates as a distinguished finance company with a core focus on real estate and infrastructure. As of June 30, 2025, the Company has successfully managed to deploy an impressive $108 billion of capital since its inception, overseeing a diverse portfolio worth over $27 billion in both debt and equity investments. Their investment strategy is centered around delivering attractive and reliable returns to shareholders, primarily through consistent dividend payments.
Contact Information
The Company encourages potential investors and interested parties to reach out for more information. Zachary Tanenbaum represents the Company and can be contacted at:
Starwood Property Trust
Phone: 203-422-7788
Email: ztanenbaum@starwood.com
Frequently Asked Questions
What is the purpose of Starwood Property Trust's bond offering?
The bond offering aims to finance or refinance eligible green and social projects while also addressing outstanding debts.
What is the coupon rate for the bonds?
The bonds carry a coupon rate of 5.250%.
Who can purchase these bonds?
The bonds are available only to qualified institutional buyers and certain non-U.S. investors.
How much capital has Starwood Property Trust deployed since its inception?
Starwood Property Trust has deployed over $108 billion of capital to date.
What is the stock ticker for Starwood Property Trust?
Starwood Property Trust trades under the ticker symbol STWD.
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