Newcastle Announces Closing of Public Offering of Common Stock Including Exercise of Option to Purchase Additional Shares

  Newcastle Announces Closing of Public Offering of Common Stock Including
  Exercise of Option to Purchase Additional Shares

Business Wire

NEW YORK -- January 11, 2013

Newcastle Investment Corp. (NYSE: NCT) (“Newcastle” or the “Company”)
announced today that it has completed the sale of 57,500,000 shares of its
common stock, including 7,500,000 shares sold pursuant to the exercise in full
of the underwriters’ option to purchase additional shares, at a public
offering price of $9.35 per share. The gross proceeds from the sale were
approximately $537.6 million. All of the shares were offered by the Company
and were issued under the Company's existing effective shelf registration
statement, previously filed with the Securities and Exchange Commission.

The Company intends to use the net proceeds from the offering for general
corporate purposes, including to make a variety of investments. The Company
may apply some or all of such proceeds to fund a co-investment in excess
mortgage servicing rights on a portfolio with an unpaid principal balance of
approximately $215 billion.

Credit Suisse Securities (USA) LLC, Barclays Capital Inc., Citigroup and UBS
Securities LLC served as the joint book-running managers for the offering.
Keefe, Bruyette & Woods, Inc. and Macquarie Capital (USA) Inc. served as
co-managers for the offering.

This press release does not constitute an offer to sell or the solicitation of
an offer to buy shares of common stock, nor shall there be any sale of these
securities in any jurisdiction in which such offer, solicitation or sale would
be unlawful prior to registration or qualification under the securities laws
of any such jurisdiction.

ABOUT NEWCASTLE

Newcastle focuses on opportunistically investing in, and actively managing,
real estate related assets. The Company primarily invests in two distinct
areas: (1) Residential Servicing and Securities and (2) Commercial Real Estate
Debt and Other Assets. The Company is organized and conducts its operations to
qualify as a real estate investment trust (REIT) for federal income tax
purposes. The Company is managed by an affiliate of Fortress Investment Group
LLC, a global investment management firm.

FORWARD-LOOKING STATEMENTS

Certain statements in this press release may constitute forward-looking
statements within the meaning of the Private Securities Litigation Reform Act
of 1995, including, but not limited to, statements relating to the offering
and intended use of proceeds. These statements are based on management’s
current expectations and beliefs and are subject to a number of trends and
uncertainties that could cause actual results to differ materially from those
described in the forward-looking statements, many of which are beyond our
control. The Company can give no assurance that its expectations will be
attained. Factors that could cause actual results to differ materially from
the Company’s expectations include, but are not limited to, the risk that
market conditions cause downgrades of a significant number of our securities
or the recording of additional impairment charges or reductions in
shareholders’ equity; the risk that we can find additional suitably priced
investments; the risk that investments made or committed to be made cannot be
financed on the basis and for the term at which we expect; the relationship
between yields on assets which are paid off and yields on assets in which such
monies can be reinvested; actual recapture rates with respect to any excess
mortgage servicing rights investment; and the relative spreads between the
yield on the assets we invest in and the cost and availability of debt and
equity financing. Accordingly, you should not place undue reliance on any
forward-looking statements contained in this press release. For a discussion
of some of the risks and important factors that could affect such
forward-looking statements, see the sections entitled “Risk Factors” and
“Management’s Discussion and Analysis of Financial Condition and Results of
Operation” in the Company’s Annual Report on Form 10-K or Quarterly Report on
Form 10-Q, as filed with the Securities and Exchange Commission. In addition,
new risks and uncertainties emerge from time to time, and it is not possible
for the Company to predict or assess the impact of every factor that may cause
its actual results to differ from those contained in any forward-looking
statements. Such forward-looking statements speak only as of the date of this
press release. The Company expressly disclaims any obligation to release
publicly any updates or revisions to any forward-looking statements contained
herein to reflect any change in the Company’s expectations with regard thereto
or change in events, conditions or circumstances on which any statement is
based.

Contact:

Newcastle Investment Corp.
Investor Relations
212-479-3195
 
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