Colony Financial Announces Closing of $145 Million of 8.50% Perpetual …

Colony Financial, Inc. (the “Company”)

/quotes/zigman/568056/quotes/nls/clny CLNY

today announced the
closing of an underwritten public offering of 8.50% Series A Cumulative
Perpetual Preferred Stock with liquidation preference of $25 per share.

In connection with the offering, the underwriters partially exercised
their over-allotment option to purchase an additional 600,000 shares of
the 8.50% Series A Cumulative Perpetual Preferred Stock. Together with
the partial exercise of the underwriters’ overallotment option, the
Company sold an aggregate of 5,800,000 shares, which generated net
proceeds to the Company of approximately $140.1 million, after deducting
the underwriting discounts and commissions and estimated offering
expenses payable by the Company. The Company intends to use the proceeds
from the offering to repay amounts outstanding under the Company’s
revolving credit facility and the balance, if any, for working capital
and general corporate purposes.

Barclays Capital Inc., Merrill Lynch, Pierce, Fenner & Smith
Incorporated, Morgan Stanley & Co. LLC and UBS Securities LLC acted as
joint book-running managers for the offering. RBC Capital Markets, LLC
and Stifel, Nicolaus & Company, Incorporated acted as co-managers.

A registration statement relating to these securities has been declared
effective by the Securities and Exchange Commission. The offering was
made only by means of a prospectus supplement and prospectus, which have
been filed with the Securities and Exchange Commission. A copy of the
prospectus supplement and prospectus related to the offering can be
obtained by contacting Barclays Capital Inc., c/o Broadridge Financial
Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, telephone: (888)
603-5847 or by email at;
Merrill Lynch, Pierce, Fenner & Smith Incorporated, 4 World Financial
Center, New York, NY 10080, Attention: Prospectus Department, telephone:
1-800-294-1322 or by e-mail at;
Morgan Stanley & Co. LLC, 180 Varick Street, 2nd Floor, New York, NY
10014, Attention: Prospectus Department, telephone: (866) 718-1649 or by
e-mail at;
or UBS Securities LLC, 299 Park Avenue, New York, NY 10171, Attention:
Prospectus Specialist, telephone: 877-827-6444, ext. 561 3884.

This press release shall not constitute an offer to sell or the
solicitation of an offer to buy any securities, nor shall there be any
sale of any securities in any state or jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such state or

About Colony Financial, Inc.

Colony Financial, Inc. is a real estate finance and investment company
that is focused primarily on acquiring and originating commercial real
estate loans and real estate-related debt at attractive risk-adjusted
returns. Secondary debt purchases may include performing, sub-performing
or non-performing loans (including loan-to-own strategies). Colony
Financial has elected to be taxed as a real estate investment trust, or
REIT, for U.S. federal income tax purposes. Colony Financial is a
component of the Russell 2000® and the Russell 3000® indices.

Forward-Looking Statements

This press release may contain forward-looking statements within the
meaning of the federal securities laws. Forward-looking statements
relate to expectations, beliefs, projections, future plans and
strategies, anticipated events or trends and similar expressions
concerning matters that are not historical facts. In some cases, you can
identify forward-looking statements by the use of forward-looking
terminology such as “may,” “will,” “should,” “expects,” “intends,”
“plans,” “anticipates,” “believes,” “estimates,” “predicts,” or
“potential” or the negative of these words and phrases or similar words
or phrases which are predictions of or indicate future events or trends
and which do not relate solely to historical matters. Forward-looking
statements involve known and unknown risks, uncertainties, assumptions
and contingencies, many of which are beyond the Company’s control, that
may cause actual results to differ significantly from those expressed in
any forward-looking statement.

All forward-looking statements reflect the Company’s good faith beliefs,
assumptions and expectations, but they are not guarantees of future
performance. Furthermore, the Company disclaims any obligation to
publicly update or revise any forward-looking statement to reflect
changes in underlying assumptions or factors, of new information, data
or methods, future events or other changes. For a further discussion of
these and other factors that could cause the Company’s future results to
differ materially from any forward-looking statements, see the section
entitled “Risk Factors” in the Company’s Annual Report on Form 10-K for
the year ended December 31, 2011 filed with the Securities and Exchange
Commission on March 9, 2012 and other risks described in documents
subsequently filed by the Company from time to time with the SEC.

SOURCE: Colony Financial, Inc.

Investor Contact:
Colony Financial, Inc.
Darren Tangen
Chief Financial Officer
(310) 552-7230
Addo Communications, Inc.
Andrew Greenebaum or Lasse Glassen
(310) 829-5400 or
Media Contact:
Owen Blicksilver P.R., Inc.
Caroline Luz
(203) 656-2829

Copyright Business Wire 2012


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Colony Financial Inc.


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Volume: 361,822
April 3, 2012 4:04p

P/E Ratio11.29
Dividend Yield8.27%

Market Cap$688.86 million
Rev. per EmployeeN/A