Ellington Financial Inc. (NYSE: EFC) today announced that it has closed a $400 million offering of 7.375% senior unsecured notes due September 30, 2030. The notes are senior unsecured obligations of the company’s subsidiaries and are fully and unconditionally guaranteed by EFC, providing a new source of long‑term capital for general corporate purposes, including repayment of existing repurchase agreement borrowings and funding additional asset purchases.
In the same announcement, EFC’s Board declared a monthly dividend of $0.13 per share of common stock, payable on November 28, 2025 to stockholders of record as of October 31, 2025. This marks the first time the company has introduced a monthly payout schedule, replacing its prior quarterly dividend structure and signaling confidence in its ongoing cash‑flow generation.
The $400 million debt issuance expands EFC’s liquidity base and offers a lower‑cost financing option compared to its existing short‑term facilities. The fully guaranteed notes also reduce the company’s reliance on unsecured market borrowing, potentially improving its credit profile and providing flexibility for future portfolio expansion.
The new monthly dividend increases shareholder return frequency and may enhance investor appeal, particularly for income‑focused investors. Together, the financing and payout changes position EFC to support its growth strategy while delivering more consistent value to shareholders.
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