NEUBERGER BERMAN REAL ESTATE SECURITIES INCOME FUND ANNOUNCES FINAL RESULTS OF RIGHTS OFFERING

Rhea-AI Summary

Neuberger Berman Real Estate Securities Income Fund (NYSE American: NRO) has completed its transferable rights offering, which expired on February 19, 2025. The final subscription price was set at $3.25 per share, representing 90% of the Fund's net asset value per share at market close on the expiration date.

The over-subscribed offering will result in the issuance of 15,840,458 shares of Common Stock, with expected gross proceeds of approximately $51.5 million. The new shares are scheduled for issuance around February 26, 2025. Due to high demand exceeding available over-subscription shares, allocations will be distributed pro-rata among record date stockholders based on their original rights allocation.

Positive

• Rights offering was over-subscribed, indicating strong investor demand
• Successfully raising $51.5 million in gross proceeds
• Offering price set at 10% discount to NAV benefits subscribing shareholders

Negative

• Potential dilution for non-participating shareholders
• Over-subscription requests exceeded available shares, leading to partial fulfillment

News Market Reaction

+0.60%

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+0.60% News Effect

On the day this news was published, NRO gained 0.60%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

NEW YORK, Feb. 25, 2025 /PRNewswire/ -- Neuberger Berman Real Estate Securities Income Fund Inc. (NYSE American: NRO) (the "Fund") has announced today the final results of its transferable rights offering (the "Offer"), which expired at 5:00 PM Eastern Time on February 19, 2025 (the "Expiration Date").

The final subscription price per share of common stock of the Fund ("Common Stock") was $3.25, which was equal to 90% of the Fund's net asset value per share of Common Stock at the close of trading on the NYSE American on the Expiration Date.

The Offer, which was over-subscribed, will result in the issuance of 15,840,458 shares of Common Stock. The gross proceeds of the Offer are expected to be approximately $51.5 million. The shares of Common Stock subscribed for are expected to be issued on or about February 26, 2025. The Fund will return to subscribing investors the full amount of any excess payments.

The Offer was over-subscribed, and the over-subscription requests exceeded the over-subscription shares available. Accordingly, the shares issued as part of the over-subscription privilege of the Offer will be allocated pro-rata among record date stockholders who submitted over-subscription requests based on the number of rights originally issued to them by the Fund.

This document is not an offer to sell any securities and is not soliciting an offer to buy any securities in any jurisdiction where the offer or sale is not permitted. This document is not an offering, which can only be made by a prospectus. Investors should consider the Fund's investment objectives, risks, charges and expenses carefully before investing. Copies of the prospectus supplement and accompanying prospectus and other documents the Fund has filed with the Securities and Exchange Commission may be obtained by visiting the EDGAR database on the SEC's website at www.sec.gov.

Inquiries regarding the Offer should be directed to the Fund's Information Agent, EQ Fund Solutions, LLC, at (866) 387-0017.

About Neuberger Berman Real Estate Securities Income Fund Inc. The Fund's primary investment objective is high current income. Capital appreciation is a secondary investment objective for the Fund. Under normal market conditions, the Fund invests at least 90% of its total assets in income-producing common equity securities, preferred securities, convertible securities and non-convertible debt securities issued by real estate companies, including real estate investment trusts. The Fund may invest up to 20% of its total assets in debt securities of any credit quality (including convertible and non-convertible debt securities) and up to 10% of its total assets in securities of non-U.S. issuers located in industrialized countries.

About Neuberger Berman

Neuberger Berman is an employee-owned, private, independent investment manager founded in 1939 with over 2,800 employees in 26 countries. The firm manages $508 billion of equities, fixed income, private equity, real estate and hedge fund portfolios for global institutions, advisors and individuals. Neuberger Berman's investment philosophy is founded on active management, fundamental research and engaged ownership. The firm's leadership in stewardship and sustainable investing is recognized by the PRI based on its consecutive above median reporting assessment results. Neuberger Berman has been named by Pensions & Investments as the #1 or #2 Best Place to Work in Money Management for each of the last ten years (firms with more than 1,000 employees). Visit www.nb.com for more information. Data as of December 31, 2024.

Contact:                                                                                   
Neuberger Berman Investment Advisers LLC                                                   
Investor Information
(877) 461-1899 

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SOURCE Neuberger Berman

FAQ

What was the final subscription price for NRO's rights offering in February 2025?

The final subscription price was $3.25 per share, set at 90% of NRO's net asset value per share at market close on February 19, 2025.

How many new shares will be issued in NRO's 2025 rights offering?

The rights offering will result in the issuance of 15,840,458 shares of Common Stock.

What are the expected gross proceeds from NRO's February 2025 rights offering?

The gross proceeds from the rights offering are expected to be approximately $51.5 million.

How will NRO handle over-subscription requests in its 2025 rights offering?

Over-subscription shares will be allocated pro-rata among record date stockholders based on the number of rights originally issued to them.