Rithm Property Trust Announces One-for-Six Reverse Stock Split
Rithm Property Trust Inc. today announced that its Board of Directors has unanimously approved a one-for-six reverse stock split of the Company’s issued and outstanding common shares. The decision comes as part of the Company’s ongoing efforts to enhance the liquidity, marketability, and trading profile of its common stock while maintaining the value for its shareholders.
The reverse stock split, which has been formally approved by the Company’s Board of Directors under the authority granted by the Maryland General Corporation Law, is scheduled to take effect at 5:00 p.m. Eastern Time on December 30, 2025. Under the terms of the reverse stock split, every six shares of the Company’s currently issued and outstanding common stock will be combined into one share of common stock. The corresponding adjustments to the outstanding common units of Rithm Property Trust’s operating partnership will occur simultaneously, ensuring that the ownership structure of the partnership remains consistent with the reverse stock split.
Following the implementation of the reverse stock split, RPT’s common stock will continue to be listed and traded on The New York Stock Exchange (“NYSE”) under the same trading symbol, “RPT.” Trading of the common stock on a reverse stock split-adjusted basis is expected to begin on December 31, 2025. In connection with this change, the Company’s common stock will be assigned a new CUSIP number, 38983D 854, to reflect the adjusted share structure.
As a result of the one-for-six reverse stock split, the total number of RPT’s outstanding common shares will decrease from approximately 45.4 million shares to approximately 7.6 million shares. Importantly, the reverse stock split is designed to be fully proportional, meaning that stockholders’ ownership percentages in the Company will generally remain unchanged, apart from minor adjustments due to the conversion of fractional shares into cash.
No fractional shares will be issued as part of the reverse stock split. Instead, stockholders who would otherwise hold fractional shares as a result of the split will receive a cash payment in lieu of such fractional shares. This process ensures a smooth transition for all shareholders and maintains equity among participants while avoiding the administrative complexity of issuing fractional stock.
Stockholders of record will receive detailed instructions from Equiniti Trust Company, LLC, the Company’s transfer agent, outlining their share ownership following the reverse stock split, along with any applicable cash payments for fractional shares. Shareholders holding shares in brokerage accounts or in “street name” are not required to take any action, as their brokers will automatically adjust their holdings to reflect the reverse stock split. This ensures a seamless experience for investors and minimizes disruption in the trading of RPT’s common stock.
The Board of Directors believes that the reverse stock split is in the best interests of the Company and its stockholders. By reducing the total number of outstanding shares, the Company aims to enhance the trading price of its common stock, which may increase market interest and improve the overall liquidity of RPT shares. While the reverse stock split does not change the fundamental value of the Company or the proportionate ownership of its stockholders, it can help position RPT more competitively in the market and potentially attract a broader investor base.
It is important to note that the reverse stock split is a structural adjustment to the number of shares and does not impact the Company’s underlying business operations, assets, or financial performance. The strategic rationale behind the reverse stock split is to create a more streamlined and efficient share structure while maintaining shareholder value. Management believes that the action reflects a proactive approach to managing the Company’s equity and optimizing trading conditions for current and prospective investors.
Rithm Property Trust has a history of thoughtful capital management and shareholder-focused initiatives. The reverse stock split represents a continuation of the Company’s commitment to strong corporate governance and strategic planning, ensuring that the interests of stockholders are protected while maintaining flexibility to pursue growth opportunities. The Board of Directors carefully reviewed the potential effects of the reverse stock split, including market considerations and the impact on existing shareholders, and concluded that the one-for-six ratio provides the optimal balance between reducing outstanding shares and maintaining a reasonable trading price per share.
No stockholder approval is required for this reverse stock split, as the Board of Directors acted under its authority pursuant to the Maryland General Corporation Law. The Company has communicated clearly with stockholders about the process and has engaged its transfer agent to handle the logistical aspects, ensuring transparency and a smooth transition.
Rithm Property Trust continues to focus on long-term value creation, sustainable growth, and maximizing returns for its stockholders. The Board and management team remain committed to maintaining strong corporate governance, enhancing shareholder communications, and ensuring that the Company’s capital structure aligns with its strategic goals. The reverse stock split is one of several measures the Company has taken to position RPT for continued success and to strengthen its market presence.
Stockholders are encouraged to review the forthcoming communications from Equiniti Trust Company for details regarding their holdings after the reverse stock split and to contact their brokers if they hold shares in street name. The Company remains dedicated to providing timely and transparent information throughout this process, reinforcing its commitment to shareholder value and operational excellence.
In summary, Rithm Property Trust’s Board-approved one-for-six reverse stock split, effective December 30, 2025, represents a strategic initiative to enhance the tradability, liquidity, and market profile of its common stock. While the reverse stock split reduces the number of outstanding shares, it does not alter stockholders’ proportionate ownership, except for minor adjustments due to fractional shares, which will be settled in cash. Trading of the adjusted common stock is expected to begin on December 31, 2025, under the new CUSIP number, while the NYSE ticker symbol “RPT” remains unchanged.
Through this reverse stock split, Rithm Property Trust reaffirms its commitment to creating long-term shareholder value, optimizing its capital structure, and strengthening its position in the marketplace for the benefit of its investors.
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