On June 11, 2019, American Assets Trust, Inc. (the Company) and American Assets Trust, L.P. (the Operating Partnership) executed
an underwriting agreement (the Underwriting Agreement) with Morgan Stanley & Co. LLC and Wells Fargo Securities, LLC as representatives of the several underwriters named therein (collectively, the Underwriters),
relating to the issuance and sale of up to 10,925,000 shares (the Shares), including the full exercise of the Underwriters option to purchase additional shares, of the Companys common stock, par value $0.01 per share (the
Common Stock). On June 12, 2019, the Underwriters exercised their over-allotment option to purchase an additional 1,425,000 shares in full.
On June 14, 2019, the Company completed the sale of the Shares for net proceeds of approximately $472.6 million, after deducting underwriting discounts
and commissions and estimated offering expenses payable by the Company.
The Company contributed the net proceeds from this offering to the Operating
Partnership in exchange for common units. The Operating Partnership intends to use the net proceeds from the offering to finance its recently announced acquisition of La Jolla Commons and, to the extent such acquisition is not completed, to repay
amounts outstanding from time to time under its second amended and restated credit facility or other debt financing obligations, fund its development or redevelopment activities, fund potential acquisition opportunities and/or for general corporate
The offering was made pursuant to a shelf registration statement on Form
filed by the Company with the Securities and Exchange Commission (the SEC) that became automatically effective on February 5, 2018, a preliminary prospectus supplement, a
final prospectus supplement and the accompanying prospectus, each filed with the SEC.
In connection with the closing of the offering on June 14, 2019,
the Operating Partnership issued to the Company 10,925,000 common units in exchange for the Companys contribution to the Operating Partnership of the net proceeds from the offering.
The Underwriting Agreement contains customary representations, warranties and agreements by the Company and the Operating Partnership, customary conditions to
closing, indemnification and contribution obligations of the Company, the Operating Partnership and the Underwriters, including for liabilities under the Securities Act of 1933, as amended, other obligations of the parties and termination
provisions. The representations, warranties and covenants contained in the Underwriting Agreement were made only for purposes of such agreement and as of specific dates, were solely for the benefit of the parties to such agreement, and may be
subject to limitations agreed upon by the contracting parties.
The foregoing description of the Underwriting Agreement is not complete and is qualified
in its entirety by reference to the full text of the Underwriting Agreement, a copy of which is filed as Exhibit 1.1 to this report and is incorporated by reference herein. A copy of the opinion of Venable LLP relating to the legality of the
issuance and sale of Common Stock in the offering is attached as Exhibit 5.1 to this report.
This report contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to the safe harbor
created by such Act. Forward-looking statements include, among others, statements regarding the completion of the offering and the anticipated use of proceeds and expected net proceeds therefrom. These statements involve risks, estimates,
assumptions and uncertainties that could cause actual results to differ materially from those expressed in these statements, including, among others, risks and uncertainties associated with the Companys business and finances in general. In
addition, you should refer to the risk factors contained in the Companys SEC filings available at www.sec.gov, including the Companys most recent Annual Report on Form
Because the risks,
estimates, assumptions and uncertainties referred to above could cause actual results or outcomes to differ materially from those expressed in any forward-looking statements, you should not place undue reliance on any forward-looking statements. Any
forward-looking statement speaks only as of the date hereof, and, except as required by law, the Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date hereof.