Underwriters for Apollo Commercial Real Estate Finance Inc.'s common shares offering have fully exercised their option to buy an additional 1,800,000 shares.
The estimated gross proceeds from the offering totaled approximately $251.9 million, after giving effect to the full exercise of the overallotment option.
Apollo Commercial Real Estate Finance intends to use all or a portion of the net proceeds from the offering to acquire or originate the company's target assets, which include commercial first mortgage loans, subordinate financing, commercial mortgage backed securities and other commercial real estate-related debt investments. The company also intends to use the proceeds for working capital and other general corporate purposes, including the repayment of borrowings outstanding under its existing repurchase agreements.
Citigroup, J.P. Morgan, Bank of America Merrill Lynch and Morgan Stanley were the joint book-running managers for the offering, and JMP Securities was the co-manager.