TPG RE Finance Trust (TRTX) has entered into a definitive investment agreement with an affiliate of Starwood Capital Group for a commitment of up to $325 million in new capital.
Under the terms of the agreement, Starwood Capital has made a strategic, non-voting investment in the company in the form of preferred stock and detachable warrants to purchase TRTX common stock. The investment will provide TRTX with immediate liquidity and access to additional capital at its option, ensuring the company has the resources and flexibility to adapt amid the current market disruption, and grow its business as market conditions warrant. Proceeds from the initial closing will be used to make voluntary deleveraging payments under certain of the company’s secured financing facilities, and for general corporate purposes.
“The new capital will provide TRTX with additional liquidity and flexibility to navigate the current economic environment,” said Greta Guggenheim, CEO of TRTX.
