News about Dynex

Dynex's book value per common share fell 15.4% to $10.91 as of Sept. 30, from $12.90 at June 30, mainly due to wider Agency MBS spreads. Total economic return was -11.5% for the quarter, and comprehensive loss was $1.49 per share versus comprehensive income of $0.80 in the second quarter. The company raised $384 million, including $268 million of common equity through its at-the-market program and $116 million from 9.375% Series D preferred stock, its first preferred offering in more than six years. Leverage rose to 9.0 times shareholders' equity from 8.1 times, and estimated book value was $10.95 per share as of Oct. 16. Management said current conditions offer attractive opportunities given historically wide mortgage spreads.