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# NorthStar Realty Finance Corp. Message Board

• pshukis pshukis May 27, 2014 6:33 PM Flag

## Can someone on Board answer ?

NRF is supposedly spinning off NSAM - in doing so it does a reverse split, 1 for 2 of the company's common stock. Then issues NSAM. So, for every 2 NRF, you will get 1 NRF and then 1 NSAM for every 2 shares of NRF you hold. Correct or not? Thanks in advance.

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• "So, for every 2 NRF, you will get 1 NRF and then 1 NSAM for every 2 shares of NRF you hold."

Does anybody know what the word, "then" means in a mathematical context? It means after the predicate is completed.

For every 2 nrf shares, you get 1 nrf. ( Now you have 500 nrf). Predicate completed.

and THEN

1 nsam for every 2 shares of nrf you hold (which = 250 nsam)

WRONG!! NOT CORRECT. That's NOT what's going to happen..

The amended disclosure says IN EFFECT, you will get 1 share of nsam for every 2 nrf you hold on the record date. That's correct. The amended disclosure does not go on to say you will end up with half the nrf shares you own on the record date.

IN EFFECT is a two step process. First, nrf reverse splits 1 for 2. And THEN, you get 1 nsam for every 1 post-split share of nrf you own. (not 1 for 2 posited in the opening post, quoted above)

Start with 1,000 nrf. You end up with 500 nrf and 500 nsam after the 2 steps are completed.

• I beleive this is correct as well. 1 nrf and 1 nsam for every 2 nrf.

Unless dar wants you to specify that its 1 nrf and 1 nsam for every 2 nrf (before the reverse split).

• I believe that after the reverse split and the spinoff after all the dust settles you will end up with one share of NRF and one share of NSAM for every current share you have of NRF.

Ken

Sentiment: Hold