NEW YORK, March 6, 2007 /PRNewswire-FirstCall via COMTEX News Network/ -- iStar Financial Inc.
(NYSE: SFI), a leading publicly traded finance company focused on the
commercial real estate industry, announced today that it has agreed to sell
$1.05 billion of senior unsecured notes; comprising two series of Fixed Rate
Senior Notes totaling $550 million and $500 million of Floating Rate Notes.
All of the Notes are senior unsecured debt securities of the Company.
The Company has agreed to sell two series of Fixed Rate Senior Notes; $300
million of Fixed Rate 5.50% Senior Notes due 2012, sold at 99.851% of their
principal amount to yield 5.535% per annum and $250 million of Fixed Rate
5.85% Senior Notes due 2017, sold at 99.744% of their principal amount to
yield 5.884% per annum.
The Company has also agreed to sell $500 million of Senior Floating Rate
Notes due 2010. These Notes will bear interest at a rate per annum equal to
3-month LIBOR plus 0.35%.
The offering of all series of Notes is expected to close on March 9, 2007.
iStar Financial expects to use the proceeds from the sale of the Notes to
repay outstanding U.S. dollar indebtedness on its unsecured revolving credit
facility and for working capital purposes.
Banc of America Securities LLC, Goldman Sachs & Co and UBS Securities LLC
are acting as joint book-running managers of the offering.
This press release does not constitute an offer to sell or solicitation of
an offer to buy the Notes being sold in this offering. Copies of the final
prospectus and accompanying prospectus supplement relating to the sale of the
Notes will be filed with the Securities and Exchange Commission and may be
obtained by calling Banc of America Securities LLC toll-free at
1-800-294-1322, Goldman, Sachs & Co. toll-free at 1-866-471-2526 or UBS
Securities LLC toll-free at 1-888-722-9555 ext 1088.
iStar Financial Inc. is a leading publicly traded finance company focused
on the commercial real estate industry. The Company primarily provides custom
tailored financing to high end private and corporate owners of real estate,
including senior and mezzanine real estate debt, senior and mezzanine
corporate capital, corporate net lease financing and equity. The Company,
which is taxed as a real estate investment trust ("REIT"), seeks to deliver
strong dividends and superior risk-adjusted returns on equity to shareholders
by providing innovative and value added financing solutions to its customers.
Additional information on iStar Financial is available on the Company's
website at http://www.istarfinancial.com.
SOURCE iStar Financial Inc.
Catherine D. Rice, Chief Financial Officer
Andrew G. Backman, Vice President - Investor Relations
Both of iStar Financial Inc.