Financing ·
CaliberCos Inc. completed a note exchange program addressing approximately $12.5 million of corporate promissory…
CWDCaliberCos Inc.
CaliberCos Inc. completed a note exchange program addressing approximately $12.5 million of corporate promissory notes, representing about 54% of the $21.1 million maturing within twelve months. The company refinanced $3.4 million by exchanging it for new five-year subordinated amortizing notes bearing 6% interest, replacing an approximate 11.5% weighted average rate. Additionally, $0.6 million in notes were converted into Series AAA Convertible Preferred Stock carrying a 12% non-cumulative dividend payable quarterly at the company's option in cash or shares. The remaining $9.1 million was placed under payoff options granting Caliber the right to retire these notes for 80% of principal ($7.3 million) within six months, contingent on funding from asset realizations or other sources. This restructuring aims to align debt maturities with long-dated underlying assets and reduce annual interest expense by approximately $1.3 million if all options are exercised. CaliberCos Inc. is a real estate-focused alternative asset manager specializing in middle-market hospitality and multifamily properties.