Kimco launches class K cumulative redeemable preferreds Wednesday with 5.625%-5.75% dividend

By Stephanie N. Rotondo

Phoenix, Nov. 28 - Kimco Realty Corp. has launched an offering of class K cumulative redeemable perpetual preferred stock, according to a prospectus filed with the Securities and Exchange Commission on Wednesday.

Price talk is 5.625% to 5.75%, a trader said, noting that the deal is expected to be at least $100 million.

Dividends will be paid on the 15th day of January, April, July and October, beginning April 15, 2013. The preferred shares become redeemable on or after December 2017 at par plus accrued dividends.

The stock will be listed on the New York Stock Exchange.

Bank of America Merrill Lynch, Citigroup Global Markets Inc., UBS Securities LLC and Wells Fargo Securities LLC are the joint bookrunners. Joint lead managers are J.P. Morgan Securities LLC and RBC Capital Markets LLC.

Co-managers are Barclays, BNY Mellon Capital Markets LLC, Credit Suisse Securities (USA) Inc., Deutsche Bank Securities Inc., Piper Jaffray and Raymond James & Associates Inc.

Proceeds will be used for general corporate purposes, including the redemptions of $198.9 million of 6% senior unsecured notes due Nov. 30, 2012, and to reduce borrowings under a revolving credit facility maturing in October 2015.

Kimco is a New Hyde Park, N.Y.-based real estate investment trust.

© 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.