MFA Financial, Inc. (NYSE: MFA) announced today that its previously announced 1-for-4 reverse stock split of common stock was completed following the close of business today. The Company’s common stock will continue to trade on the New York Stock Exchange under the symbol “MFA” and, starting on April 5, 2022, under a new CUSIP number: 55272X607.
Following the close of business on April 4, 2022, every four issued and outstanding shares of the Company’s common stock were converted into one share of the Company’s common stock. As a result of the reverse stock split, the number of outstanding shares of the Company’s common stock was reduced from 420,142,761 to approximately 105,035,000.
The reverse stock split does not affect the timing or amount of the Company’s previously announced dividend in respect of its common stock, which will continue to be payable on April 29, 2022, to stockholders of record at the close of business on March 22, 2022 (based on the number of shares of common stock held by each stockholder on such date before giving effect to the reverse stock split), in the amount of $0.11 per common share.
No fractional shares were issued in connection with the reverse stock split. Instead, each stockholder holding fractional shares will receive, in lieu of any fractional share that resulted from the reverse stock split, cash in an amount based on the closing price of the Company’s common stock on the New York Stock Exchange on April 4, 2022, but taking into account the reverse stock split. The reverse stock split applied to all of the Company’s outstanding shares of common stock and therefore did not affect any stockholder’s relative ownership percentage, except for de minimis changes resulting from the payment of cash in lieu of fractional shares. Stockholders of record will receive information from Computershare Trust Company, N.A., the Company’s transfer agent (“Computershare”), regarding their stock ownership following the reverse stock split and applicable payments of cash in lieu of fractional shares. Stockholders were not required to take any action to effectuate the exchange of their shares.
Stockholders with certificated shares of common stock will receive a letter of transmittal from Computershare with instructions on how to surrender certificates representing pre-split shares, which will become book-entry shares post-split. Stockholders should not send in their pre-split certificates until they receive a letter of transmittal from Computershare (which will also include a lost securities affidavit with respect to any certificate that cannot be located). In order to receive new shares of the Company’s common stock, cash in lieu of a fractional share, and any dividends or other distributions that the Company may declare in the future, stockholders must return these certificated shares of common stock or a lost securities affidavit. Stockholders with book-entry shares or who hold their shares through a bank, broker or other nominee will not need to take any action.
About MFA Financial, Inc.
MFA Financial, Inc. is a leading specialty finance company that invests in and finances residential mortgage assets. MFA invests, on a leveraged basis, in residential whole loans, residential mortgage-backed securities and other real estate assets. Through its subsidiaries, MFA also originates and services business purpose loans for real estate investors. MFA is an internally managed, publicly traded real estate investment trust.
