By Stephanie N. Rotondo
Phoenix, Feb. 7 - Cedar Realty Trust Inc. brought a $50 million add-on to its 7.25% series B cumulative redeemable preferreds to market on Thursday.
The preferreds were sold at $24.5813 apiece, which was a slight discount to Thursday's closing price of $24.52.
Wells Fargo Securities LLC and BofA Merrill Lynch are the joint bookrunners.
Dividends are payable on a quarterly basis.
The preferreds can be redeemed on or after May 22, 2017 at par plus accrued dividends, except in cases related to the company's real estate investment trust status or in the event of a change of control.
The Port Washington, N.Y.-based REIT intends to contribute proceeds from the add-on offering to its operating partnership in exchange for preferred units of limited partnership interest. The operating partnership will then use the funds to redeem all outstanding series A preferreds and for working capital.
| Issuer: | Cedar Realty Trust Inc.
|
| Securities: | Series B cumulative redeemable preferred stock
|
| Amount: | $50 million, or 2 million shares
|
| Greenshoe: | $7.5 million, or 300,000 shares
|
| Maturity: | Perpetual
|
| Bookrunners: | Wells Fargo Securities LLC, BofA Merrill Lynch
|
| Co-manager: | MLV & Co.
|
| Dividend: | 7.25%
|
| Price: | $24.5813
|
| Par: | $25.00
|
| Redemption: | Beginning May 22, 2017 at par plus accrued dividends
|
| Pricing date: | Feb. 7
|
| Settlement date: | Feb. 12
|
| Listing: | NYSE: CDRPB
|
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