BEACHWOOD, Ohio, March 2, 2011 /PRNewswire/ -- Developers
Diversified Realty Corporation (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 4.75%
notes due April 2018. The notes are
being offered to investors at a price of 99.315% with a yield to
maturity of 4.86%. Interest on the notes will be paid semi-annually
on April 15 and October 15. The offering is expected to close on
or about March 7, 2011, 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 $295.5 million,
which the Company intends to use to repay short-term higher cost
mortgage debt and to reduce balances on its revolving credit
facilities and secured term loan.
Merrill Lynch, Pierce, Fenner
and Smith Incorporated; J.P. Morgan Securities LLC and RBC Capital
Markets, LLC are serving as joint book-running managers; PNC
Capital Markets LLC; Scotia Capital (USA) Inc.; U.S. Bancorp Investments, Inc. and
Wells Fargo Securities, LLC are serving as senior co-managers; and
BNY Mellon Capital Markets, LLC; Daiwa Capital Markets America
Inc.; ING Financial Markets LLC; KeyBanc Capital Markets Inc.;
Morgan Keegan & Company, Inc.;
RBS Securities Inc. and The Williams Capital Group, L.P. are
serving as co-managers for the offering.
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: Merrill
Lynch, Pierce, Fenner & Smith Incorporated, 100 West 33rd
Street, 3rd Floor, New York, New
York 10001, Attention: Prospectus Department or at
1-800-294-1322; or from J.P. Morgan Securities LLC, 383 Madison
Avenue, New York, New York 10179,
Attention: High Grade Syndicate Desk, 3rd Floor, or collect at
1-212-834-4533; or from RBC Capital Markets, LLC, 200 Vesey Street,
New York, New York 10281 or at
1-866-375-6829.
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. A registration statement
relating to these securities has been filed with the Securities and
Exchange Commission and is effective.
About Developers Diversified Realty
Developers Diversified owns and manages approximately 570 retail
operating and development properties in 41 states, Brazil, Canada and Puerto
Rico. Totaling approximately 132 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
primarily clustered around Sao Paulo,
Brazil. Developers Diversified is a self-administered and
self-managed REIT operating as a fully integrated real estate
company.
Developers Diversified -- Financial
SOURCE Developers Diversified Realty Corporation