GREENWICH, Conn.--(BUSINESS WIRE)--
Urstadt Biddle Properties Inc. (UBA), a real estate investment trust (the “Company”), today announced the pricing of its underwritten public offering of 4,000,000 shares of its 5.875% Series K Cumulative Redeemable Preferred Stock, liquidation preference of $25.00 per share, for net proceeds of $96.85 million, after deducting underwriting discounts and commissions but before expenses payable by the Company. In connection with the offering, the Company has granted the underwriters an option for 30 days to purchase up to an additional 600,000 shares of Series K Preferred Stock to cover overallotments, if any. The offering is subject to customary closing conditions and settlement is expected to occur on or about October 1, 2019. The Company intends to apply to list the Series K Preferred Stock on the NYSE under the symbol “UBPPRK”.
The Company intends to use a portion of the net proceeds from the offering to fund the redemption of all of the outstanding shares of its existing Series G preferred stock. The Company intends to use the remaining net proceeds for other general corporate purposes, which may include the repayment of outstanding indebtedness, the funding of capital improvements to the Company’s existing properties and the acquisition of additional properties. Pending the use of the net proceeds as described above, the Company may use the net proceeds to make investments in short-term income-producing securities that are consistent with its qualification as a REIT.
Wells Fargo Securities, LLC and BMO Capital Markets Corp. are acting as joint book-running managers for the offering. B. Riley FBR, Inc., D. A. Davidson & Co., BNY Mellon Capital Markets, LLC, Deutsche Bank Securities Inc. and Sandler O’Neill & Partners, L.P. are acting as co-managers for the offering.
A final prospectus supplement and accompanying base prospectus related to the offering will be filed with the Securities and Exchange Commission. Copies of the final prospectus supplement and accompanying base prospectus, when available, may be obtained by contacting Wells Fargo Securities, LLC, Attention: WFS Customer Service, 608 2nd Avenue South, Suite 1000, Minneapolis, Minnesota 55402 or by telephone at (800) 645-3751 or by email at email@example.com; or BMO Capital Markets Corp., Attention: Syndicate Department, 3 Times Square, 25th Floor, New York, New York 10036 or by telephone at (800) 414-3627 or by email at firstname.lastname@example.org.
This press release shall not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.
Urstadt Biddle Properties Inc. is a self-administered equity real estate investment trust which owns or has equity interests in 83 properties containing approximately 5.3 million square feet of space. Listed on the New York Stock Exchange since 1970, it provides investors with a means of participating in ownership of income-producing properties. It has paid 198 consecutive quarters of uninterrupted dividends to its shareholders since its inception and has raised total dividends to its shareholders for the last 25 consecutive years.
This press release contains statements that constitute “forward-looking statements,” including with regard to the Company’s securities offering and the anticipated use of the net proceeds from the offering. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. No assurance can be given that the securities offering discussed above will be completed on the terms described, or at all, or that the net proceeds from the offering will be used as indicated. Completion of the securities offering on the terms described, and the application of the net proceeds from the offering, are subject to numerous conditions, many of which are beyond the control of the Company, including those set forth in or incorporated by reference into the Risk Factors section of the Company’s Registration Statement on Form S-3. Copies are available on the SEC’s website, www.sec.gov. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release.