Thursday, March 8, 2012

Simon Property Group Announces Proposed Offerings of Common Stock and Senior Notes


INDIANAPOLIS, March 8, 2012 /PRNewswire/ -- Simon Property Group, Inc. (NYSE: SPG) announced today that it intends to conduct, subject to market and other conditions, an offering of 7,000,000 shares of common stock.  The Company expects to grant the underwriters an overallotment option to purchase 1,050,000 additional shares of common stock.

Additionally, the Company announced today that its majority-owned operating partnership subsidiary, Simon Property Group, L.P. (the "Operating Partnership"), intends, subject to market and other conditions, to offer three new series of senior unsecured notes with maturity dates of five and one-half, ten and thirty years in the aggregate principal amount of $1.5 billion.

The Company intends to use the net proceeds of the offerings to fund (or repay borrowings used prior to the closing of the offerings to fund) two recently announced transactions: the purchase of a 28.7% equity interest in Klepierre, a publicly-traded French REIT, from BNP Paribas; and the purchase of additional interests in 26 properties in the Mills portfolio from Farallon Capital Management, L.L.C. and for general corporate and partnership purposes.

No comments:

Post a Comment