Alston & Bird client Ready Capital Corporation, an industry-leading mortgage real estate investment trust (REIT), has signed a definitive merger agreement to combine with Anworth Mortgage Asset Corporation, a specialty finance REIT.
The combined company is expected to have a pro forma equity capital base in excess of $1 billion. Additionally, it will retain the name Ready Capital and is expected to continue trading on the New York Stock Exchange.
Established in 2011, Ready Capital specializes in loans backed by commercial real estate, including agency multifamily, investor, bridge, and SBA 7(a) business loans. It is managed by Waterfall Asset Management, LLC.
Anworth was founded in 1997 and is based in Santa Monica, CA. Managed by Anworth Management LLC, the company invests in mortgage-backed securities that have high credit ratings or are sponsored by federal entities, such as Fannie Mae or Freddie Mac.
Advising Ready Capital in the merger is an Alston & Bird team led by partners Michael Kessler, David E. Brown, and Rosemarie Thurston (REITs & Funds); partners Jim Croker and Shawna Tunnell and senior associate Stefanie Kavanagh (Federal & International Tax); senior associate Bhanu Mathur (Corporate & Business Transactions); partner Blake Estes and associates Joel Jung and Helena Gu (Financial Services & Products); partners Paul Hespel and Michael Thimmig and senior associate Bradford Patterson (Finance); and counsel Kerry Wenzel (Employee Benefits & Executive Compensation).