VICI Properties Plans to Raise $509.9M By Offering 16.5M Common Stock Shares

At the end of June, experiential asset real estate investment trust VICI Properties announced strong total revenue growth during Q2 2022, along with a drop in its net income. Now, the company has expressed its intention to raise $509.9 million by making an underwritten public offering of 16.5 million shares. VICI Properties will also offer underwriters the possibility to buy up to 2,475,000 more shares during an expanded 30-day period. In return, this would bring the total gross proceeds to a maximum amount of $586.3 million.

VICI Properties’ Offering to Close on November 8

The company’s offering will be subject to a series of closing conditions. BofA Securities and Citigroup will represent underwriters in the offering. According to VICI, the underwriters will be allowed to periodically put shares of common stock up for sale during one or several transactions on the NYSE. They will also be given the green light to do the same in the over-the-counter market, via transactions that will be negotiated or market prices that will prevail at the time of sale, at negotiated prices, or at prices connected to prevailing market prices.

VICI Properties has also entered into additional forward sale agreements with a global bank founded in 1812 Citibank and leading financial institution BofA Securities. According to these agreements, the purchasers can borrow or sell to the underwriters all of the shares of common stock they will be delivered as part of the offering.

VICI to Use the Proceeds to Fund Property Acquisition and Development

The company plans to use the proceeds to further support its business and operations. The list of options includes funding for the acquisition, growth, and improvement of its existing properties, the direct or indirect funding of loans, working capital, capital expenditures, or the refinancing of indebtedness.

VICI Properties’s national portfolio includes 43 properties covering more than 122 million square feet, 58,700 hotel rooms, and over 450 bars, restaurants, bars, sportsbooks, and nightclubs. VICI’s portfolio incorporates top entertainment and hospitality destinations like MGM Grand, Caesars Palace Las Vegas, and the Venetian Resort in Las Vegas.

The company also owns four championship golf courses and more than 30 acres of land that is adjacent to the Vegas Strip. The company plans to turn into the most successful and most productive experiential real estate portfolios in the US. In June, the company announced it had appointed Kellan Florio as the chief investment officer and senior vice president, and Moira McCloskey as vice president of capital markets.

Source link


Random Posts