NEW YORK, March 13, 2025 (GLOBE NEWSWIRE) — Ready Capital Corporation (NYSE: RC) announced that it has completed the previously announced acquisition of United Development Funding IV pursuant to the terms of the Agreement and Plan of Merger, dated as of November 29, 2024, by and among Ready Capital, RC Merger Sub IV, LLC, and UDF IV. The combined company will conduct business under the name “Ready Capital Corporation” and will continue to trade on the New York Stock Exchange under the ticker symbol “RC.”
At the effective time of the Merger, each outstanding common share of beneficial interest, par value $0.01 per share, of UDF IV was automatically cancelled and retired and converted into the right to receive (i) 0.416 shares of Ready Capital’s common stock, $0.0001 par value per share (“Ready Capital Common Stock”) and (ii) 0.416 contingent value rights (“CVRs”) representing the potential right to receive additional shares of Ready Capital Common Stock after the end of each of (1) the period beginning on October 1, 2024, and ending on December 31, 2025 and (2) the three subsequent calendar years, based upon cash proceeds received by Ready Capital and its subsidiaries in respect of a portfolio of five UDF IV loans. No fractional shares of Ready Capital Common Stock were issued in the Merger, and the value of any fractional shares to which a former UDF IV shareholder was otherwise entitled was paid in cash.
“We look forward to scaling our portfolio, expanding our core business, and unlocking exciting growth and value creation opportunities,” stated Thomas Capasse, Ready Capital’s Chairman and Chief Executive Officer.
About Ready Capital Corporation
Ready Capital Corporation (NYSE: RC) is a multi-strategy real estate finance company that originates, acquires, finances and services lower-to-middle-market investor and owner occupied commercial real estate loans. The Company specializes in loans backed by commercial real estate, including agency multifamily, investor, construction, and bridge as well as U.S. Small Business Administration loans under its Section 7(a) program. Headquartered in New York, New York, the Company employs approximately 350 professionals nationwide.
