Dynex Capital, Inc. (DX) has entered into Amendment No. 10 to its distribution agreement with various sales agents, allowing for the issuance and sale of up to 301,292,973 shares of its common stock. As of July 28, 2026, the company has authorized 99,326,438 shares of common stock and has issued 201,966,535 shares under the distribution agreement. The offering is conducted as a continuous offering program and will be sold through the sales agents acting as agents or principals.
The company, structured as a real estate investment trust (REIT), invests primarily in mortgage-backed securities (RMBS and CMBS) backed by residential and commercial mortgage loans guaranteed by U.S. government-sponsored enterprises. It employs leverage through repurchase agreements to enhance returns and utilizes derivative instruments to hedge interest rate risk.
Investing in Dynex Capital involves risks, including market volatility, limitations on dividend payments, potential dilution from future offerings, and the possibility of not being able to invest additional capital at favorable prices. The company's REIT status is subject to various qualification tests, and failure to meet these requirements could result in significant tax liabilities.
The company intends to use the net proceeds from the offering to acquire additional investments and for general corporate purposes, potentially including repayment of maturing obligations and capital expenditures.
