Acadia Realty Trust (NYSE: AKR) (“Acadia” or the “Company”)
announced today the pricing of an upsized underwritten offering of
5,000,000 common shares of beneficial interest at a price to the
public of $23.25 per share. The underwriters have been granted a
30-day option to purchase up to an additional 750,000 common
shares. This reflects an upsizing of the previously announced
offering of 4,500,000 common shares. The offering is expected to
close on October 2, 2024, subject to customary closing conditions.
Wells Fargo Securities, Goldman Sachs & Co. LLC and Jefferies
are acting as joint book-running managers for the offering.
The Company has entered into forward sale agreements with each
of Wells Fargo Bank, National Association, Goldman Sachs & Co.
LLC and Jefferies or their affiliates (the “forward purchasers”)
with respect to 5,000,000 of its common shares. In connection with
the forward sale agreements, the forward purchasers or their
affiliates are expected to borrow and sell to the underwriters an
aggregate of 5,000,000 common shares that will be delivered in the
offering. Subject to its right to elect cash or net share
settlement, which right is subject to certain conditions, the
Company intends to deliver, upon physical settlement of such
forward sale agreements on one or more dates specified by the
Company occurring no later than September 30, 2025, an aggregate of
5,000,000 common shares to the forward purchasers in exchange for
cash proceeds per share equal to the applicable forward sale price,
subject to certain adjustments as provided in the forward sale
agreements. If the underwriters and forward sellers exercise their
option to purchase additional shares, the Company will enter into
one or more additional forward sale agreements with each of the
forward purchasers in respect of the number of common shares that
are subject to exercise of the option to purchase additional
shares.
The Company will not initially receive any proceeds from the
sale of common shares by the forward purchasers or their affiliates
in the offering. The Company intends to use the net proceeds, if
any, it receives upon the future settlement of the forward sale
agreements for general corporate purposes, including funding
potential investment transactions, working capital and the
repayment of outstanding indebtedness. Pending such usage, the
Operating Partnership expects to invest the net proceeds in
short-term instruments.
The offering is being made only by means of a prospectus
supplement and the accompanying base prospectus, which was filed as
part of an effective shelf registration statement filed with the
Securities and Exchange Commission (the “SEC”) on Form S-3 (File
No. 333-275356). Copies of the base prospectus and preliminary
prospectus supplement relating to the offering, as well as the
final prospectus supplement once available, may be obtained from
the SEC’s website at www.sec.gov or from (i) Wells Fargo
Securities, LLC, 90 South 7th Street, 5th Floor, Minneapolis, MN
55402, Attention: WFS Customer Service or by calling toll free at
1-800-645-3751 (option #5) or by emailing:
WFScustomerservice@wellsfargo.com; (ii) Goldman Sachs & Co.
LLC, Prospectus Department, 200 West Street, New York, NY 10282,
telephone: 1-866-471-2526, facsimile: 212-902-9316 or by email at
Prospectus-ny@ny.email.gs.com; or (iii) Jefferies LLC, Attention:
Equity Syndicate Prospectus Department, 520 Madison Avenue, New
York, NY 10022, by telephone at (877) 821-7388, or by email at
Prospectus_Department@Jefferies.com.
This press release does not constitute an offer to sell or a
solicitation of an offer to buy any common shares of the Company,
nor shall there be any sale of these securities in any state or
jurisdiction in which such offer, solicitation, or sale would be
unlawful prior to registration or qualification under the
securities laws of any such state or jurisdiction.
About Acadia
Acadia Realty Trust is an equity real estate investment trust
focused on delivering long-term, profitable growth. Acadia owns and
operates a high-quality core real estate portfolio ("Core" or "Core
Portfolio") of street and open-air retail properties in the
nation's most dynamic retail corridors, along with an investment
management platform that targets opportunistic and value-add
investments through its institutional co-investment vehicles
("Investment Management"). For further information, please visit
www.acadiarealty.com.
The Company uses, and intends to use, the Investors page of its
website, which can be found at www.acadiarealty.com/investors, as a
means of disclosing material nonpublic information and of complying
with its disclosure obligations under Regulation FD, including,
without limitation, through the posting of investor presentations
and certain portfolio updates. Additionally, the Company also uses
its LinkedIn profile to communicate with its investors and the
public. Accordingly, investors are encouraged to monitor the
Investors page of the Company's website and its LinkedIn profile,
in addition to following the Company’s press releases, SEC filings,
public conference calls, presentations and webcasts.
Safe Harbor Statement
Certain statements in this press release may contain
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. Forward-looking
statements, which are based on certain assumptions and describe the
Company’s future plans, strategies and expectations are generally
identifiable by the use of words, such as “may,” “will,” “should,”
“expect,” “anticipate,” “estimate,” “believe,” “intend” or
“project,” or the negative thereof, or other variations thereon or
comparable terminology. Forward-looking statements involve known
and unknown risks, uncertainties and other factors that could cause
the Company’s actual results and financial performance to be
materially different from future results and financial performance
expressed or implied by such forward-looking statements, including,
but not limited to: (i) macroeconomic conditions, including due to
geopolitical conditions and instability, which may lead to a
disruption of or lack of access to the capital markets, disruptions
and instability in the banking and financial services industries
and rising inflation; (ii) the Company’s success in implementing
its business strategy and its ability to identify, underwrite,
finance, consummate and integrate diversifying acquisitions and
investments; (iii) changes in general economic conditions or
economic conditions in the markets in which the Company may, from
time to time, compete, and their effect on the Company’s revenues,
earnings and funding sources; (iv) increases in the Company’s
borrowing costs as a result of rising inflation, changes in
interest rates and other factors; (v) the Company’s ability to pay
down, refinance, restructure or extend its indebtedness as it
becomes due; (vi) the Company’s investments in joint ventures and
unconsolidated entities, including its lack of sole decision-making
authority and its reliance on its joint venture partners’ financial
condition; (vii) the Company’s ability to obtain the financial
results expected from its development and redevelopment projects;
(viii) the ability and willingness of the Company’s tenants to
renew their leases with the Company upon expiration, the Company’s
ability to re-lease its properties on the same or better terms in
the event of nonrenewal or in the event the Company exercises its
right to replace an existing tenant, and obligations the Company
may incur in connection with the replacement of an existing tenant;
(ix) the Company’s potential liability for environmental matters;
(x) damage to the Company’s properties from catastrophic weather
and other natural events, and the physical effects of climate
change; (xi) the economic, political and social impact of, and
uncertainty surrounding, any public health crisis, such as the
COVID-19 Pandemic, which adversely affected the Company and its
tenants’ business, financial condition, results of operations and
liquidity; (xii) uninsured losses; (xiii) the Company’s ability and
willingness to maintain its qualification as a REIT in light of
economic, market, legal, tax and other considerations; (xiv)
information technology security breaches, including increased
cybersecurity risks relating to the use of remote technology; (xv)
the loss of key executives; and (xvi) the accuracy of the Company’s
methodologies and estimates regarding environmental, social and
governance (“ESG”) metrics, goals and targets, tenant willingness
and ability to collaborate towards reporting ESG metrics and
meeting ESG goals and targets, and the impact of governmental
regulation on its ESG efforts.
The factors described above are not exhaustive and additional
factors could adversely affect the Company’s future results and
financial performance, including the risk factors discussed under
the section captioned “Risk Factors” in the Company’s most recent
Annual Report on Form 10-K and other periodic or current reports
the Company files with the SEC. Any forward-looking statements in
this press release speak only as of the date hereof. The Company
expressly disclaims any obligation or undertaking to release
publicly any updates or revisions to any forward-looking statements
to reflect any changes in the Company’s expectations with regard
thereto or changes in the events, conditions or circumstances on
which such forward-looking statements are based.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20241001162194/en/
Sandra Liang (914) 288-3356
Acadia Realty (NYSE:AKR)
Historical Stock Chart
From Oct 2024 to Nov 2024
Acadia Realty (NYSE:AKR)
Historical Stock Chart
From Nov 2023 to Nov 2024