Western Asset Mortgage Capital Corporation Announces Stockholder Approval Of Merger With AG Mortgage Investment Trust
Portfolio Pulse from Benzinga Newsdesk
Western Asset Mortgage Capital Corporation (WMC) stockholders have approved the merger with AG Mortgage Investment Trust, Inc. (MITT). Approximately 55% of WMC's outstanding shares voted in favor of the merger, which will result in WMC merging into MITT's subsidiary, Merger Sub, with Merger Sub as the surviving entity. Upon completion, WMC shareholders will receive 1.498 shares of MITT stock and a cash payment from MITT Manager. The merger is expected to close on December 6, 2023, pending customary closing conditions.
December 05, 2023 | 9:16 pm
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NEUTRAL IMPACT
MITT is set to acquire WMC, with the merger expected to close on December 6, 2023. MITT will issue 1.498 shares of its stock for each WMC share and make a cash payment as part of the merger consideration.
While the merger approval is a positive step for MITT in terms of expansion, the issuance of new shares to WMC shareholders could dilute the value of existing MITT shares in the short term. However, the potential benefits of the merger and the management of the combined company could offset this dilution over time. Therefore, the short-term impact on MITT's stock price is likely to be neutral.
CONFIDENCE 85
IMPORTANCE 80
RELEVANCE 80
POSITIVE IMPACT
WMC stockholders approved the merger with MITT, with the merger expected to close on December 6, 2023. WMC shareholders will receive 1.498 shares of MITT stock and a cash payment for each share they hold.
The approval of the merger by WMC stockholders is a significant step towards the completion of the merger, which is a positive development for WMC shareholders as they are set to receive both stock and cash consideration. This news is likely to be viewed positively by the market in the short term, potentially leading to an increase in WMC's stock price.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100