- Commercial Loans Biggest Threat to Banks: FDIC’s Bair
- Bailed-Out Banks' Heads to Gain $$$ as Shares Rose
- Lloyds Wins Approval for $16 Billion Cash Call: Report
- Powerful Quake Recorded Near Indonesia's Java
- China to Hike Fuel Prices 4-5%, 4th Time in '09
- Roubini: China Won't Drive World Out Of Recession
- Soros Fund Soared as Rivals Lost in Crisis: Report
- China Becomes Less Attractive to EU Companies
- Tesco, British Grocer, Uses Weather to Predict Sales
- One Year Later: Reflections From The Street
- Another Black Mark on September
- September Strategy Session
- Look Into These Quality Dividend Sectors: Strategist
- What Banks Are Really Doing With Foreclosures, Pt 2
- August Sales Give Most a One Time Pop
- Is Vegas Housing a Safe Bet Now?
- Twitter's Next Frontier
- 3 Small Caps Investors Might Want: Money Manager
Text Size 
Starwood Property Trust priced shares for $20 Tuesday and twice boosted the number of shares offered in what is likely to emerge as the largest U.S. initial public stock offering of the year.
Starwood Property, a unit of private equity firm Starwood Capital Group, sold 40.5 million shares, raising $810 million, one of the deal's underwriters said.
Starwood Property's shares are set to begin trading on the New York Stock Exchange on Wednesday under the symbol "STWD."
Earlier in the day, Starwood had increased the number of shares to be sold in the IPO by 35 percent to 33.75 million.
The underwriters, led by Deutsche Bank Securities , Bank of America-Merrill Lynch and Citi, have the option to buy another 6.075 million shares.
If that happens, the Starwood IPO would surpass the $828 million stock flotation in February by pediatrics nutrition maker Mead Johnson Nutrition, the top IPO so far in 2009.
Starwood Property, which was created in May and filed for the IPO in June, intends to invest the proceeds in commercial mortgage-backed securities sold under the U.S. government's public-private investment program, or PPIP.
The PPIP program would create a public-private partnership to take up to $1 trillion of troubled assets off bank books and unfreeze credit markets.
In its prospectus, Starwood Property said "there will be a significant supply of distressed investment opportunities from sellers" over the next five years.
Starwood Capital Group, controlled by Barry Sternlicht, has previously formed companies such as Starwood Hotels & Resorts Worldwide [HOT
Loading...
()
] and property finance company iStar Financial.
Starwood Property intends to elect and qualify to be taxed as a real estate investment trust, or REIT, for U.S. federal income tax purposes, this year.
Print
Email
Data is a real-time snapshot *Data is delayed at least 15 minutes