Two Harbors Investment Corp. priced its underwritten public offering of 18 million shares of its common stock for expected gross proceeds of $249.3 million.

The company also granted the underwriters a 30-day option to purchase up to an additional 2.7 million common shares.

The offering is expected to close on or about March 21.

Net proceeds from the offering will be used to purchase residential mortgage-backed securities, mortgage servicing rights and other financial assets, as well as for general corporate purposes.

Credit Suisse, J.P. Morgan and JMP Securities are the joint book-running managers for the offering.