Business Context and Reporting Period
This Form 8-K is a current report filed by Hunt Companies Finance Trust, Inc. (referred to as Lument Finance Trust, Inc. in metadata) on February 14, 2019. The report details corporate actions taken on February 14 and 15, 2019, regarding the company's capital structure.
Key Financial Metrics
The filing does not provide specific revenue, profit, cash flow, margin, or liquidity figures. The primary financial event reported is the redemption of all outstanding 8.75% Series A Cumulative Redeemable Preferred Stock. The redemption was funded using proceeds from a delayed draw credit facility entered into on January 15, 2019.
Material Changes
- Preferred Stock Redemption: On February 14, 2019, the Company completed the redemption of all Series A Preferred Stock.
- Delisting: Following the redemption, no Series A Preferred Stock remains outstanding, and the security will be delisted from the New York Stock Exchange.
- Capital Structure Amendment: On February 15, 2019, the Company filed Articles Supplementary with the State of Maryland. This reclassified the previously authorized and issued Series A Preferred Stock as authorized and unissued shares of preferred stock without a specific class or series designation.
Guidance, Outlook, and Risks
The filing contains no forward-looking guidance, management commentary on future performance, or specific risk factors beyond the structural changes described. The transaction was executed as previously announced, utilizing the delayed draw credit facility.
Investor Verification Checklist
- Confirm the delisting of the 8.75% Series A Cumulative Redeemable Preferred Stock from the NYSE.
- Verify the terms of the delayed draw credit facility used to fund the redemption (refer to the January 18, 2019, Form 8-K).
- Review the filed Articles Supplementary (Exhibit 3.1) to understand the new status of the preferred stock authorization.
- Check subsequent filings for any impact on the company's leverage ratios or dividend obligations following the removal of the preferred stock.