LAKE COMO, N.J.--(BUSINESS WIRE)--Four Springs Capital Trust, a real estate investment trust that invests in single-tenant net lease real estate, announced today that funds managed by Guggenheim Investments, the global asset management and investment advisory business of Guggenheim Partners, have acquired $40 million of Series E Preferred Shares of Four Springs. As part of the transaction, the Company’s Board of Trustees will be increased from seven to eight members, and Greg Kranias of Guggenheim Investments will join the Company’s Board. In addition, Matt Settle of Guggenheim Investments will be designated as an observer to the Company’s Board.
Proceeds from the $40 million Convertible Preferred Share issuance to Guggenheim will be used by Four Springs for: (i) the acquisition of additional net lease properties in the Company’s pipeline; (ii) repayment of a portion of the Company’s debt under its credit facility led by KeyBank N.A.; and (iii) working capital and other general corporate purposes.
Bill Dioguardi, Chairman of the Board and Chief Executive Officer of Four Springs, commented, “We are excited to announce an investment of $40 million from Guggenheim, a leading global investment firm, and are thrilled to have a strategic capital partner of the caliber of Guggenheim.”
“We believe there will be tremendous synergies between our two organizations that will enable us to execute on our growth strategy and create value for our shareholders,” added Coby Johnson, President and Chief Operating Officer of Four Springs.
Greg Kranias of Guggenheim Investments said, “We were attracted to Four Springs by their successful track record of investing in net lease real estate and the high quality portfolio they had assembled with their disciplined investment approach. We are confident that the Four Springs management team will be able to leverage their robust net lease investment platform to grow Four Springs into a leading net lease REIT and deliver attractive returns to its shareholders.”
About Four Springs Capital Trust:
Four Springs Capital Trust is a private real estate investment trust focused on acquiring a diversified portfolio of retail, industrial/warehouse and healthcare properties net leased to investment grade and other creditworthy tenants under long-term leases. For more information about this announcement, please contact Jodi Hopkinson at (732) 749-7351 or jhopkinson@fsctrust.com.
About Guggenheim Investments
Guggenheim Investments is the global asset management and investment advisory division of Guggenheim Partners, with $243 billion1 in assets across fixed income, equity, and alternative strategies. Guggenheim focuses on the return and risk needs of insurance companies, corporate and public pension funds, sovereign wealth funds, endowments and foundations, consultants, wealth managers, and high-net-worth investors. Guggenheim’s 275+ investment professionals perform rigorous research to understand market trends and identify undervalued opportunities in areas that are often complex and underfollowed. This approach to investment management has enabled Guggenheim to deliver innovative strategies providing diversification and attractive long-term results.
