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GlobeNewswire·

Sunrise Realty Trust, Inc. and Southern Realty Trust Inc., Tannenbaum Capital Group Affiliates, Complete Merger

SUNS
  • Sunrise Realty Trust, Inc. (Nasdaq: SUNS) completed the merger of Southern Realty Trust Inc. (SRT) into a wholly owned subsidiary of SUNS on November 5, 2026.
  • The combined entity operates as Sunrise Realty Trust, Inc. with stock continuing to trade on Nasdaq under the ticker symbol "SUNS."
  • On a pro forma basis as of June 30, 2026, the combined company reported approximately $285 million in book value, $534 million in total assets, & $604 million in total loan commitments across 14 portfolio loans.
  • The loan portfolio is collateralized by assets located predominantly in core Southern U.S. markets.
  • Each share of SRT common stock was converted into 1.45 shares of SUNS common stock plus $0.05 in cash from Sunrise Manager LLC.
  • SUNS issued 8,464,975 new shares, bringing the total outstanding shares to 21,980,826 as of the merger effective time.
  • Former SRT stockholders now own approximately 38.5% of the combined company, while pre-merger SUNS stockholders own approximately 61.5%.
  • Certain former SRT stockholders who controlled approximately 32% of SRT have agreed to 120-day lock-up restrictions on their newly received SUNS shares.
  • The amended management agreement reduces the incentive fee rate from 20% to 17.5% & the hurdle rate from 8.0% to 7.0% per annum.
  • Base management fees will be reduced by $250,000 per quarter for the first four full fiscal quarters of 2027, totaling $1.0 million in savings for stockholders.
  • The SUNS Board of Directors was expanded by one seat, with Howard Sudnow appointed as an independent director.
  • A prorated cash dividend of $0.09 per share was declared for the stub period & is payable today, November 5, 2026, to stockholders of record on November 2, 2026.
  • The merger was advised by Oppenheimer & Co. Inc. & Keefe, Bruyette & Woods, Inc., with legal counsel provided by Venable LLP, Hunton Andrews Kurth LLP, & Vinson & Elkins LLP.
Company
Sunrise Realty Trust, Inc.
Keywords
Nasdaq:SUNS, Sunrise Realty Trust, Inc.