N
euberger Berman Real Estate Securities Income Fund (NYSE American: NRO) has completed its transferable rights offering, which expired on February 19, 2025. The final subscription price was set at $3.25 per share, representing 90% of the fund's net asset value per share at market close on the expiration date. Due to high demand exceeding available over-subscription shares, allocations will be distributed pro-rata among record date stockholders based on their original rights allocation.

    The offering resulted in the issuance of 15,840,458 shares of common stock, with expected gross proceeds of approximately $51.5 million. The new shares are scheduled for issuance around February 26, 2025. This capital raise offers several strategic advantages for NRO, including enhanced portfolio diversification capabilities, improved trading liquidity, and potential reduction in the fund's expense ratio through economies of scale.

    However, non-participating shareholders face meaningful ownership dilution due to the substantial size of this offering. The timing suggests management sees compelling investment opportunities in the current market, and investors should monitor the speed and effectiveness of capital deployment in coming quarters.