CLEVELAND, March 16 /PRNewswire-FirstCall/ -- Developers
Diversified Realty Corporation (the “Company”) (NYSE: DDR) today
announced the pricing of $300 million
of senior unsecured notes in an underwritten public offering. The
offering consists of $300 million of
7.50% notes due April 2017. The notes
are being offered to investors at a price of 99.995% with a yield
to maturity of 7.50%. Interest on the notes will be paid
semi-annually on October 1 and
April 1. The offering is expected to
close on or about March 19, 2010,
subject to customary closing conditions.
The net proceeds to the Company, after subtracting the
underwriting discount and estimated offering expenses, are expected
to be approximately $296.8 million,
which the Company intends to use to repay debt with shorter-term
maturities and to reduce balances on the Company’s revolving credit
facilities.
Banc of America Securities LLC, Deutsche Bank Securities Inc.
and UBS Securities LLC are serving as joint book-running managers;
Citigroup Global Markets Inc., Goldman, Sachs & Co., J.P.
Morgan Securities Inc., KeyBanc Capital Markets Inc., Morgan
Stanley & Co. Incorporated, U.S. Bancorp Investments, Inc., and
Wells Fargo Securities, LLC are serving as senior co-managers; and
BNY Mellon Capital Markets, LLC, Daiwa Securities America Inc., ING
Financial Markets LLC, Morgan Keegan
& Company, Inc., PNC Capital Markets LLC, RBS Securities Inc.,
and Scotia Capital (USA) Inc. are
serving as co-managers for the offering.
A registration statement relating to the notes has been filed
with and declared effective by the SEC. The offering may be
made only by means of a prospectus supplement and the accompanying
prospectus. A copy of the final prospectus supplement and
accompanying prospectus relating to this offering may be obtained,
when available, by contacting: Banc of America Securities LLC,
Attention: Prospectus Department, 100 West 33rd Street, 3rd Floor,
New York, New York 10001,
1-800-294-1322, email:
dg.prospectus_distribution@bofasecurities.com; or Deutsche Bank
Securities Inc. at 100 Plaza One, Floor 2, Jersey City, New Jersey 07311-3901,
1-800-503-4611, email: prospectusrequest@list.db.com; or UBS
Securities LLC, Attention: Prospectus Specialist, 299 Park Avenue,
New York, New York 10171,
1-877-827-6444 (ext 561-3884).
This news release does not constitute an offer to sell or a
solicitation of an offer to buy any of the notes or any other
securities, nor will there be any sale of the notes or any other
securities in any state or jurisdiction in which such an offer,
solicitation or sale is not permitted.
About Developers Diversified Realty
Developers Diversified owns and manages approximately 645 retail
operating and development properties in 44 states, Brazil, Canada and Puerto
Rico. Totaling more than 143 million square feet, the
Company's shopping center portfolio features open-air,
value-oriented neighborhood and community centers, mixed-use
centers and lifestyle centers located in prime markets with stable
populations and high-growth potential. Developers Diversified is
the largest landlord in Puerto
Rico and owns a premier portfolio of regional malls in and
around Sao Paulo, Brazil.
Developers Diversified is a self-administered and self-managed REIT
operating as a fully integrated real estate company.
SOURCE Developers Diversified Realty Corporation