UDF IV Shareholders Approve Merger with Ready Capital

United Development Funding IV (UDF IV), a Maryland real estate investment trust, has announced a key development in its operations. UDF IV shareholders have approved the merger with Ready Capital Corporation, signaling an instrumental step forward in the process that positions the trust and its shareholders to gain immediate value and potential long-term benefits. In a special meeting, 61.2% of shares were represented, with 95.3% of the votes cast in favor of the merger. The transaction, aiming for closure by the first quarter of 2025, is contingent on customary closing conditions. Both parties have taken regulatory steps, including Ready Capital's filing of a Registration Statement on Form S-4 with the SEC. Special emphasis by UDF IV's CEO Jim Kenney highlights the strategic impact anticipated from the merger. The merger is structured to integrate UDF IV's real estate investment focusing on residential loans with Ready Capital's lending platform, enhancing potential operational synergies. The merger also contains forward-looking statements that reflect managerial expectations tempered by external risks, including pending litigation and market conditions, underscoring the complexity and potential volatility involved in the transaction.