Tremont Mortgage Trust, a newly-formed commercial mortgage REIT controlled by RMR Group, announced terms for its IPO on Wednesday.
The Newton, MA-based company plans to raise $90 million by offering 4.5 million shares at a price of $20. RMR Group plans to purchase at least 500,000 shares in a concurrent private placement at the IPO price and up to 20% of post-IPO shares. Assuming it purchases the minimum commitment, RMR would own a 10% stake and Tremont would command a market value of $100 million.
Tremont Mortgage Trust was founded in 2017 and plans to list on the Nasdaq under the symbol TRMT. UBS Investment Bank, Citi and RBC Capital Markets are the joint bookrunners on the deal. It is expected to price on Wednesday, September 13, 2017.
