DuPont Fabros to issue additional 7.625% series B cumulative redeemable preferreds

By Stephanie N. Rotondo

Portland, Ore., Jan. 12 - DuPont Fabros Technology, Inc. is reopening its 7.625% series B cumulative redeemable perpetual preferred stock, according to a 424B4 filing with the Securities and Exchange Commission on Thursday.

Liquidation preference is $25.00 per share. The reoffer price is also $25.00, according to a trader.

The company expects to grant the underwriters a 15% 30-day over-allotment option.

The company currently pays dividends on a quarterly basis on the 15th day of January, April, July and October. The first dividend payment for the reopening will occur April 16.

The preferreds are not redeemable until March 15, 2016, except in certain circumstances. There is a change-of-control feature.

Barclays Capital Inc., Raymond James & Associates Inc., Jefferies & Co. and Stifel, Nicolaus & Co. Inc. are the joint bookrunners. KeyBanc Capital Markets LLC is the co-manager.

Proceeds will be used to repay outstanding borrowings under the company's $100 million revolving credit facility and for corporate purposes.

The company sold the original $90 million of the preferreds on March 3, 2011 at par and another $11.25 million through a partial exercise of the original greenshoe.

The series B preferreds are listed on the New York Stock Exchange under the symbol "DFTPB." The new add-on will be listed under the same symbol.

DuPont Fabros is a Washington, D.C.-based real estate investment trust.

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