Merger Would Consolidate Two Transitional CRE Lenders Focused on the Southern U.S. Into a Single Public Company
Combination Expected to Enhance Stockholder Value Through Increased Margin, Broader Index Inclusion, Improved Trading Liquidity, and Access to More Efficient Leverage
Pro Forma Loan Commitments as ofJune 30, 2026Pro Forma Total Assets as of June 30, 2026Potential Annual G&A Savings on a Combined BasisExpected Reduction in Incentive Fee and Hurdle Rate Under SUNS Management AgreementEnhanced Earnings Potential$604 million$534 millionAnticipated Increase in Margin20% → 17.5% (incentive fee)8% → 7% (hurdle rate)Increase in Equity Base with Lower Expenses on a Combined BasisThe merger would combine two complementary commercial real estate lending portfolios managed under a common investment philosophy and is expected to create a larger, more efficient public company with enhanced earnings potential and a stronger competitive position.