Kimco Realty Announces Pricing of $400 million 3.800% Notes Due 2027
March 22 2017 - 6:16PM
Business Wire
Kimco Realty Corp. (NYSE:KIM) today announced its public
offering of $400 million aggregate principal amount of notes due
2027 (the “Notes”) at a coupon of 3.800% per annum with an
effective yield of 3.844%, maturing April 1, 2027. The offering is
expected to settle on March 30, 2017, subject to customary closing
conditions.
The company intends to use the net proceeds of approximately
$395.5 million for general corporate purposes, including to (i)
pre-fund 2017 debt maturities, including $414 million of mortgage
debt outstanding with a weighted average interest rate of 5.49%,
and (ii) partially reduce borrowings (of which $420 million were
outstanding as of February 1, 2017) under the company’s revolving
credit facility maturing in March 2021 (subject to two six-month
extension options), which borrowings bear interest at a rate of
one-month LIBOR plus 0.875% (1.595% as of February 1, 2017).
Barclays Capital Inc., Deutsche Bank Securities Inc., J.P.
Morgan Securities LLC, Citigroup Global Markets Inc., Morgan
Stanley & Co. LLC and U.S. Bancorp Investments, Inc. served as
the joint book-running managers for the Notes. Mizuho Securities
USA Inc. and TD Securities (USA) LLC served as the senior
co-managers for the Notes. BB&T Capital Markets, a division of
BB&T Securities, LLC, BNY Mellon Capital Markets, LLC, CIBC
World Markets Corp., PNC Capital Markets LLC, Regions Securities
LLC, Scotia Capital (USA) Inc., SunTrust Robinson Humphrey,
Inc. and UBS Securities LLC served as the co-managers for the
Notes.
The offering was made pursuant to an effective shelf
registration statement, prospectus and related prospectus
supplement. Copies of the prospectus supplement and the base
prospectus, when available, may be obtained by contacting Barclays
Capital Inc. at Barclays Capital Inc. c/o Broadridge Financial
Solutions, 1155 Long Island Avenue, Edgewood, New York 11717,
barclaysprospectus@broadridge.com, 1-888-603-5847; Deutsche Bank
Securities Inc. at Deutsche Bank Securities Inc., Attention:
Prospectus Group, 60 Wall Street, New York, New York 10005-2836, or
by calling toll free at (800) 503-4611 or by emailing
prospectus.CPDG@db.com; or J.P. Morgan Securities LLC at J.P.
Morgan Securities LLC, 383 Madison Avenue, New York, New York,
10179, Attention: Investment Grade Syndicate Desk – 3rd floor,
Telephone: (212) 834-4533, Facsimile: (212) 834-6081. Investors may
also obtain these documents for free by visiting EDGAR on the
Securities and Exchange Commission’s website at www.sec.gov.
This press release shall not constitute an offer to sell or the
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 registration
or qualification under the securities laws of any such state or
other jurisdiction.
About Kimco
Kimco Realty Corp. (NYSE:KIM) is a real estate investment trust
(REIT) headquartered in New Hyde Park, N.Y., that is one of the
nation’s largest publicly-traded owners and operators of open-air
shopping centers. As of December 31, 2016, the company had
interests in 525 shopping center properties comprising 85.4 million
square feet of gross leasable area, located in 34 states, Puerto
Rico and Canada. Publicly traded on the NYSE since 1991, and
included in the S&P 500 Index, the company has specialized in
shopping center acquisitions, development and management for more
than 50 years.
Safe Harbor Statement
The statements in this press release state the company’s and
management’s intentions, beliefs, expectations or projections of
the future and are forward-looking statements. It is important to
note that the company’s actual results could differ materially from
those projected in such forward-looking statements. Factors which
may cause actual results to differ materially from current
expectations include, but are not limited to, (i) general adverse
economic and local real estate conditions, (ii) the inability of
major tenants to continue paying their rent obligations due to
bankruptcy, insolvency or a general downturn in their business,
(iii) financing risks, such as the inability to obtain equity, debt
or other sources of financing or refinancing on favorable terms to
the company, (iv) the company’s ability to raise capital by selling
its assets, (v) changes in governmental laws and regulations, (vi)
the level and volatility of interest rates and foreign currency
exchange rates and management’s ability to estimate the impact
thereof, (vii) risks related to the company’s international
operations, (viii) the availability of suitable acquisition,
disposition, development and redevelopment opportunities, and risks
related to acquisitions not performing in accordance with the
company’s expectations, (ix) valuation and risks related to the
company’s joint venture and preferred equity investments, (x)
valuation of marketable securities and other investments, (xi)
increases in operating costs, (xii) changes in the dividend policy
for the company’s common stock, (xiii) the reduction in the
company’s income in the event of multiple lease terminations by
tenants or a failure by multiple tenants to occupy their premises
in a shopping center, (xiv) impairment charges and (xv)
unanticipated changes in the company’s intention or ability to
prepay certain debt prior to maturity and/or hold certain
securities until maturity. Additional information concerning
factors that could cause actual results to differ materially from
those forward-looking statements is contained from time to time in
the company’s SEC filings. Copies of each filing may be obtained
from the company or the SEC.
The company refers you to the documents filed by the company
from time to time with the SEC, specifically the sections titled
“Risk Factors” in the prospectus supplement and prospectus relating
to the Notes and in the company’s Annual Report on Form 10-K for
the year ended December 31, 2016, as may be updated or supplemented
in the company’s Quarterly Reports on Form 10-Q and the company’s
other filings with the SEC, which discuss these and other factors
that could adversely affect the company’s results. The company
disclaims any intention or obligation to update the forward-looking
statements, whether as a result of new information, future events
or otherwise.
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version on businesswire.com: http://www.businesswire.com/news/home/20170322006352/en/
Kimco Realty CorporationDavid F. Bujnicki, 1-866-831-4297Senior
Vice President, Investor Relations and
Strategydbujnicki@kimcorealty.com
Kimco Realty (NYSE:KIM)
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