By Stephanie N. Rotondo
Phoenix, June 1 - Monmouth Real Estate Investment Corp. priced a $50 million sale of 7.875% series B cumulative redeemable preferred stock, the company said in an FWP filing with the Securities and Exchange Commission.
There is a $7.5 million over-allotment option.
The public offering price is $25 per share. Underwriters received a 78.75-cent discount.
BMO Capital Markets Corp. is the bookrunner. Wunderlich Securities Inc. and BB&T Capital Markets are co-lead managers. Co-managers are CSCA Capital Advisors LLC, Crowell, Weedon & Co. and J.J.B Hilliard, W.L. Lyons, LLC.
Dividends are payable on the 15th day of March, June, September and December beginning Sept. 17.
The company has the option to redeem the preferreds on or after June 7, 2017 or upon the occurrence of a delisting event or a change of control.
Monmouth has applied to list the preferreds on the New York Stock Exchange under the ticker symbol "MNRPB." Settlement is expected Thursday.
Proceeds will be used to purchase properties in the ordinary course of business and for general corporate purposes.
Monmouth is a Freehold, N.J.-based real estate investment trust specializing in net-leased industrial properties.
| Issuer: | Monmouth Real Estate Investment Corp.
|
| Securities: | Series B cumulative redeemable preferred stock
|
| Amount: | $50 million, or 2 million shares
|
| Greenshoe: | $7.5 million
|
| Dividend: | 7.875%
|
| Price: | $25
|
| Call option: | On or after June 7, 2017 or in the event of a delisting event or change of control
|
| Bookrunner: | BMO Capital Markets Corp.
|
| Co-lead managers: | Wunderlich Securities Inc. and BB&T Capital Markets
|
| Co-managers: | CSCA Capital Advisors LLC, Crowell, Weedon & Co. and J.J.B Hilliard, W.L. Lyons, LLC
|
| Pricing date: | May 31
|
| Settlement date: | June 7
|
| Expected listing: | NYSE: MNRPB
|
| Cusip: | 609720305
|
© 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.
