Realty Income Corp. has commenced a public stock offering with expected net proceeds of approximately $645.8 million, the San Diego-based company announced.
A statement from the real estate investment trust said the offering of 10.85 million shares, at $62 per share, is expected to close on March 3. The offering is being upsized from an original planned amount of 8 million shares, and the company has also granted underwriters a 30-day option to purchase up to 1,627,500 additional shares of common stock.
Officials said net proceeds, after underwriting discounts, will be used to repay a portion of borrowings under the company’s $2 billion unsecured revolving credit facility. Proceeds not used for that purpose will go toward potential future investments and/or other general corporate purposes.
Headquartered in Carmel Valley, Realty Income Corp. (NYSE: O) invests primarily in retail, industrial and related commercial properties nationwide.