Extra Space 2.375% exchangeables putable on June 28, remainder called

By Wendy Van Sickle

Columbus, Ohio, June 8 – Extra Space Storage Inc. and its operating partnership, Extra Space Storage LP, announced the put option is exercisable on their outstanding $11.5 million of 2.375% exchangeable senior notes due 2033 and said they will call the remainder, according to an 8-K filing with the Securities and Exchange Commission.

Any notes not put will be redeemed on July 5 at par plus accrued interest. A redemption notice was distributed on May 31, and a revised notice was sent to holders on June 8. The amended notice clarifies that holders as of June 15 will receive the next regularly scheduled interest payment on July 1 even if they exchange their notes prior to July 1.

Under the repurchase offer, which is required by the note indenture, Extra Space will pay par plus accrued interest to but excluding July 1 for the notes. Settlement is expected on July 2.

The put may be exercised until 5 p.m. ET on June 28.

Holders may exchange their notes for common shares of the company until 5 p.m. ET on July 2. The exchange price is $52.82 per share for an exchange rate of about 18.9322 shares per $1,000 principal amount of notes.

The company’s shares (NYSE: EXR) closed at $98.02 on June 8.

Extra Space is a Salt Lake City-based real estate investment trust focused on self-storage facilities.

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