The company said it priced the offering of 15 million shares for expected gross proceeds of about $336 million. The underwriters of the offering have an option to buy up to an additional 2.25 million shares.
Colony Financial expects to use part of the proceeds to repay part of its revolving credit facility. The company will use the remainder to acquire target assets, for working capital, and general corporate purposes.
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TheStreet Ratings team rates COLONY FINANCIAL INC as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation:
"We rate COLONY FINANCIAL INC (CLNY) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its robust revenue growth, increase in net income, expanding profit margins, good cash flow from operations and increase in stock price during the past year. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results."
Highlights from the analysis by TheStreet Ratings Team goes as follows: