Annaly $275 million Series J preferred stock offering

Davis Polk advised Annaly Capital Management, Inc. in connection with its $275 million SEC-registered offering of 11,000,000 shares of 8.875% Series J preferred stock. The offering included the partial exercise by the underwriters of their over-allotment option to purchase 1,000,000 shares. Annaly intends to use the net proceeds from the offering to acquire targeted assets under Annaly’s capital allocation policy. Annaly intends to list the preferred stock on the New York Stock Exchange under the symbol “NLY.”

Annaly is a leading diversified capital manager with investment strategies across mortgage finance. Annaly’s principal business objective is to generate net income for distribution to its stockholders and optimize its returns through prudent management of our diversified investment strategies.

The Davis Polk corporate team included partner Shane Tintle, counsel Christopher H. Van Buren and associates Kanger Jin, Nicole (Nikki) Williams and Sijia (Scarlett) Huang. Counsel Leon E. Salkin and associate Alex Brod provided 1940 Act advice. All members of the Davis Polk team are based in the New York office.