SHAREHOLDERS’ EQUITY

3 Months Ended

Mar. 31, 2021

Equity [Abstract]

SHAREHOLDERS’ EQUITY

NOTE 6 - SHAREHOLDERS’ EQUITY

Common Stock

On March 15, 2021, the Company paid total cash dividends of $8.0 million or $0.19 per share to common shareholders of record as of the close of business on February 16, 2021, of which $920,000 was reinvested in the Dividend Reinvestment and Stock Purchase Plan (“DRIP”). On April 1, 2021, the Company declared a dividend of $0.19 per share to be paid June 15, 2021 to common shareholders of record as of the close of business on May 17, 2021.

During the three months ended March 31, 2021, the Company received, including dividends reinvested of $920,000, a total of $3.9 million from its DRIP. There were 239,000 shares issued under the DRIP during this period.

On January 13, 2021, the Board of Directors reaffirmed our Common Stock Repurchase Program (the “Repurchase Program”) that authorizes us to repurchase up to $25 million in the aggregate of the Company’s common stock. Purchases under the Repurchase Program may be made using a variety of methods, which may include open market purchases, privately negotiated transactions or block trades, or by any combination of such methods, in accordance with applicable insider trading and other securities laws and regulations. The size, scope and timing of any purchases will be based on business, market and other conditions and factors, including price, regulatory and contractual requirements or consents, and capital availability. The Repurchase Program does not require the Company to acquire any particular amount of common stock and may be suspended, modified or discontinued at any time at the Company’s discretion without prior notice. For the three months ended March 31, 2021, the Company did not repurchase any shares of its Common Stock.

Common Stock At-The-Market Sales Program

On June 30, 2020, the Company entered into an Equity Distribution Agreement (“Common ATM Program”) with BMO Capital Markets Corp., B. Riley FBR, Inc. (“B Riley”), Compass Point Research & Trading, LLC, D.A. Davidson & Co., Janney Montgomery Scott LLC, and J.P. Morgan Securities LLC, as distribution agents (the “Distribution Agents”) under which the Company may offer and sell shares of the Company’s Common Stock, having an aggregate sales price of up to $100 million from time to time through the Distribution Agents. Sales of the shares of Common Stock under the Common ATM Program, if any, will be in “at the market offerings” as defined in Rule 415 under the Securities Act, including, without limitation, sales made directly on or through the NYSE or on any other existing trading market for the Common Stock, as applicable, or to or through a market maker or any other method permitted by law, including, without limitation, negotiated transactions and block trades. Shares of Common Stock sold under the Common ATM Program are offered pursuant to the Company’s Registration Statement on Form S-3 (File No. 333-238321), filed with the Securities and Exchange Commission (the “SEC”) on May 15, 2020, and declared effective on June 1, 2020 (the “2020 Registration Statement”), and the prospectus dated June 1, 2020 included in the 2020 Registration Statement and the related prospectus supplement dated June 30, 2020. For the three months ended March 31, 2021, 352,000 shares of Common Stock were issued and sold at a weighted average price of $19.08 per share, generating gross proceeds of $6.7 million and net proceeds of $6.6 million, after offering expenses. As of March 31, 2021, $91.3 million of common stock remained eligible for sale under the Common ATM Program.

6.75% Series C Cumulative Redeemable Preferred Stock

On March 15, 2021, the Company paid $4.2 million in dividends or $0.421875 per share for the period from December 1, 2020 through February 28, 2021 to holders of record as of the close of business on February 16, 2021 of our 6.75% Series C Cumulative Redeemable Preferred Stock, Liquidation Preference $25.00 per share (“Series C Preferred Stock”). Dividends on our Series C Preferred Stock are cumulative and payable quarterly at an annual rate of $1.6875 per share.

On April 1, 2021, the Company declared a dividend of $0.421875 per share for the period from March 1, 2021 through May 31, 2021 to be paid on June 15, 2021 to Series C Preferred Stock shareholders of record as of the close of business on May 17, 2021.

6.375% Series D Cumulative Redeemable Preferred Stock

On March 15, 2021, the Company paid $2.9 million in dividends or $0.3984375 per share for the period from December 1, 2020 through February 28, 2021 to holders of record as of the close of business on February 16, 2021 of our 6.375% Series D Cumulative Redeemable Preferred Stock, Liquidation Preference $25.00 per share (“Series D Preferred Stock”). Dividends on our Series D Preferred Stock are cumulative and payable quarterly at an annual rate of $1.59375 per share.

On April 1, 2021, the Company declared a dividend of $0.3984375 per share for the period from March 1, 2021 through May 31, 2021 to be paid on June 15, 2021 to Series D Preferred shareholders of record as of the close of business on May 17, 2021.

Preferred Stock At-The-Market Sales Program

On July 22, 2020, the Company entered into a Preferred Stock At-The-Market Sales Program (“New Preferred ATM Program”) with B. Riley, as distribution agent, under which the Company may offer and sell shares of the Company’s Series C Preferred Stock and/or Series D Preferred Stock, having an aggregate sales price of up to $100 million. Sales of shares under the New Preferred ATM Program are made in “at the market offerings” as defined in Rule 415 under the Securities Act, including, without limitation, sales made directly on or through the NYSE, or on any other existing trading market for the Series C Preferred Stock or Series D Preferred Stock, as applicable, or to or through a market maker or any other method permitted by law, including, without limitation, negotiated transactions and block trades. Shares of Series C Preferred Stock and/or Series D Preferred Stock sold under the New Preferred ATM Program are offered pursuant to the Company’s 2020 Registration Statement and are sold and issued pursuant to the Company’s prospectus dated June 1, 2020 included in the 2020 Registration Statement and the related prospectus supplement dated July 22, 2020. The New Preferred ATM Program replaced the Company’s previous at-the-market sales program for its Series C Preferred Stock and/or Series D Preferred Stock. During the three months ended March 31, 2021, 1.3 million shares of Series D Preferred Stock were issued and sold at a weighted average price of $24.85 per share, generating total gross proceeds of $31.4 million and total net proceeds of $30.9 million, after offering expenses. As of March 31, 2021, $34.9 million in shares of Series C Preferred Stock and/or Series D Preferred Stock remained eligible for sale under the New Preferred ATM Program.