By Stephanie N. Rotondo
Phoenix, Dec. 11 - Retail Properties of America Inc. priced a $125 million offering of 7% series A cumulative redeemable preferred stock, according to a market source on Tuesday.
Dividends will be paid on the last day of March, June, September and December, beginning April 1, as March 31 is not a business day.
The preferreds will become redeemable Dec. 20, 2017 or upon a change of control at par plus accrued dividends.
Wells Fargo Securities LLC and Citigroup Global Markets Inc. are the joint bookrunners.
The Oak Brook, Ill.-based real estate investment trust will use the proceeds to repay a portion of outstanding borrowings under the company's mezzanine loans, with any remaining funds set aside for working capital and general corporate purposes.
| Issuer: | Retail Properties of America Inc.
|
| Securities: | Series A cumulative redeemable preferred stock
|
| Amount: | $125 million, or 5 million shares
|
| Maturity: | Perpetual
|
| Bookrunners: | Wells Fargo Securities LLC, Citigroup Global Markets Inc.
|
| Lead managers: | Jefferies & Co., RBC Capital Markets LLC
|
| Dividend: | 7%
|
| Talk: | Around 7%
|
| Call options: | On or after Dec. 20, 2017 or upon a change of control at par plus accrued dividends
|
| Pricing date: | Dec. 11
|
| Settlement date: | Dec. 20
|
| Expected symbol: | NYSE: RPAIPA
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
