By Stephanie N. Rotondo
Phoenix, Nov. 6 - Sun Communities Inc. sold $75 million 7.125% series A cumulative redeemable perpetual preferred shares, according to an FWP filed with the Securities and Exchange Commission on Tuesday.
There is an $11.25 million over-allotment option.
Dividends will be payable on the 15th day of January, April, July and October, beginning Jan. 15, 2013. The preferreds become redeemable, in whole or in part, on or after Nov. 15, 2017, or within 120 days of a change of control, at par plus accrued and unpaid dividends.
Citigroup Global Markets Inc. and Bank of America Merrill lynch are the joint bookrunners.
The Southfield, Mich.-based real estate investment trust will use the proceeds from the offering for a planned acquisition of Rudgate Properties, which is expected to close Nov. 15. Any remaining funds will be used for financing activities, to fund possible future acquisitions of properties and for working capital and general corporate purposes.
| Issuer: | Sun Communities Inc.
|
| Securities: | Series A cumulative redeemable perpetual preferred stock
|
| Amount: | $75 million
|
| Greenshoe: | $11.25 million
|
| Maturity: | Perpetual
|
| Bookrunners: | Citigroup Global Markets Inc., Bank of America Merrill Lynch
|
| Co-managers: | BMO Capital Markets Corp., Janney Montgomery Scott LLC
|
| Dividend: | 7.125%
|
| Price: | Par of $25.00
|
| Yield: | 7.125%
|
| Talk: | 7.25%
|
| Call options: | On or after Nov. 15, 2017or in the event of a change of control
|
| Call price: | Par plus accrued and unpaid dividends
|
| Pricing date: | Nov. 6
|
| Settlement date: | Nov. 14
|
| Expected symbol: | NYSE: SUIPA
|
| Cusip: | 866674203
|
© 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.
