Terms

Series

7.125% Series C Cumulative Redeemable Perpetual Preferred Stock

Liquidation Preference

$25.00

Coupon Rate

7.125%

Rate Type

Fixed

Annual Dividend

$1.78

Payment Frequency

Quarterly

Cumulative

Yes

Perpetual

Yes

Convertible

Yes

Callable

Yes

First Call Date

April 13, 2020

First Call Price

$25.00

Redemption Notice Period

30 days

Capital Stack Ranking

Junior To: All Existing And Future Indebtedness Of Colony Capital, Inc. And Its Subsidiaries, Any Future Senior Equity Securities; Pari Passu With: Series A Cumulative Redeemable Perpetual Preferred Stock, Series B Cumulative Redeemable Perpetual Preferred Stock, Any Other Future Parity Preferred Stock; Senior To: Class A Common Stock, Class B Common Stock, Any Other Junior Securities

Regulatory (Basel III) Call

No

Tax Classification

Reit Passthrough

Qualifies for QDI

No

Qualifies for DRD

No

Shares Offered

10,000,000

Prospectus Summary

Colony Capital, Inc. (NYSE: CLNY), a Maryland-based REIT and global real estate investment management firm, is offering 10,000,000 shares of its 7.125% Series C Cumulative Redeemable Perpetual Preferred Stock at a $25.00 liquidation preference, priced April 8, 2015. Dividends are paid quarterly at $1.78125 per annum per share (approximately $0.4453 per quarter) on or about the 15th of January, April, July, and October. The Series C is cumulative — missed dividends accrue and must be paid in full before any distributions can be made to common or other junior stockholders. The preferred is not redeemable before April 13, 2020, after which Colony may redeem at $25.00 plus accrued dividends on 30–60 days' notice. The Series C Preferred ranks senior to Colony Capital's Class A and Class B common stock and on parity with the existing Series A (8.50%) and Series B (7.50%) preferred series. It is junior to all existing and future debt obligations of Colony Capital and its subsidiaries, which totaled approximately $3.2 billion at issuance. As a holding company issue, preferred holders face structural subordination — operating assets and cash flows reside in the Operating Partnership, and debt at the subsidiary level is satisfied before preferred dividends can be paid. There is no traditional regulatory capital call; however, in a Change of Control where the common stock is no longer exchange-listed, Colony has a special optional redemption right exercisable within 120 days at $25.00 plus accrued dividends, which could preempt holders' conversion right into common stock. At par, the Series C yields exactly 7.125% annually. Because Colony Capital is a REIT, dividends are generally treated as ordinary income for U.S. tax purposes and do not qualify for the preferential 15%/20% qualified dividend income (QDI) rate available for C-corporation dividends, nor for the dividends-received deduction (DRD) available to corporate holders. Payment dates are January 15, April 15, July 15, and October 15; record dates are set by the Board, not more than 30 days prior to each payment date. The dividend stopper prevents any common stock dividend or junior security repurchase if Series C cumulative dividends are in arrears. If six quarterly dividends are missed, preferred holders (voting with Series A and B holders) gain the right to elect two directors until arrears are cured.

Summarized from the SEC prospectus filing.

Distribution History

Conversion Terms

Ranking vs. Other Preferreds

Dividend Stopper Provisions

Dividend Stopper Description

If cumulative dividends on the Series C Preferred Stock (and any parity preferred) are not current, Colony Capital may not pay dividends on or repurchase its common stock or other junior securities.

Other Preferreds from Digitalbridge Group Inc

Div Score Breakdown

Reinvesty's multi-factor safety analysis for this preferred, composite score: 50 (Average)