AGOURA HILLS, Calif.,
Dec. 20, 2013 /PRNewswire/ --
American Homes 4 Rent (NYSE: AMH) (the "Company") today announced
the pricing of its underwritten public offering of 4,000,000 of its
5% Series B Participating Preferred Shares for gross proceeds of
$100 million, before deducting
underwriting discounts and estimated offering expenses. The
Series B Participating Preferred Shares have an initial liquidation
preference of $25.00 per share that
may be increased by an additional amount based on home price
appreciation in the Company's top 20 markets as determined by the
Federal Housing Finance Agency's House Price Index, subject to
certain limitations and conditions, as described in the prospectus
for the securities.[1] The offering is expected to close on
December 30, 2013, subject to
customary closing conditions. The Company has granted the
underwriters a 30-day option to purchase up to an additional
600,000 Series B Participating Preferred Shares at the public
offering price, less underwriting discounts and commissions.
The Company intends to apply to list the Series B Participating
Preferred Shares on the New York Stock Exchange under the symbol
"AMHPRB."
The Company intends to use the net proceeds of the offering to
continue to acquire and renovate single-family properties, to repay
borrowings under its credit facility and for general business
purposes.
Raymond James, Jefferies and
Citigroup are the joint book-running managers for the
offering. Hogan Lovells US LLP is serving as legal counsel
for the Company. Latham & Watkins LLP is serving as legal
counsel to the underwriters.
A registration statement relating to these securities has been
filed with the Securities and Exchange Commission and became
effective on December 20, 2013.
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 jurisdiction in which such an
offer, solicitation or sale would be unlawful before registration
or qualification thereof under the securities laws of any such
state or jurisdiction.
The offering is being made only by means of a prospectus.
Copies of the final prospectus relating to the offering will be
filed with the Securities and Exchange Commission and may be
obtained, when available, from Raymond
James & Associates, Inc., 880 Carillon Parkway,
St. Petersburg, Florida 33716, or
by calling toll-free at 1-800-248-8863, or by emailing
prospectus@raymondjames.com; from Jefferies LLC, Attention: Debt
Syndicate Prospectus Department, 520 Madison Avenue, 12th floor,
New York, NY 10022, or by calling
toll-free at 1-877-547-6340 or by emailing
Prospectus_Department@Jefferies.com; or from Citigroup, c/o
Broadridge Financial Solutions, 1155 Long Island Avenue,
Edgewood, New York 11717, by email
at batprospectusdept@citi.com, or by calling toll-free at
1-800-831-9146.
[1] Top 20 markets used to determine percentage weightings have
been determined by AMH holdings of single-family homes as of
July 31, 2013. The Federal Housing
Finance Agency's Quarterly Purchase-only House Price Index is a
weighted, repeat-sales index, meaning that it measures average
price changes in repeat sales of the same single-family properties,
and is obtained by reviewing repeat transactions involving
conforming, conventional mortgages purchased or securitized by
Fannie Mae or Freddie Mac since January
1975.
Forward-Looking Statements
This press release contains "forward-looking statements."
These forward-looking statements relate to beliefs, expectations or
intentions and similar statements concerning matters that are not
of historical fact and are generally accompanied by words such as
"estimate," "project," "predict," "believe," "expect,"
"anticipate," "intend," "potential," "plan," "goal" or other words
that convey the uncertainty of future events or outcomes.
These forward-looking statements may include, but are not limited
to, statements regarding the timing of the closing of the offering,
the anticipated listing of the Series B Participating Preferred
Shares on the New York Stock Exchange and the intended use of the
net proceeds. The Company has based these forward-looking
statements on its current expectations and assumptions about future
events. While the Company's management considers these
expectations to be reasonable, they are inherently subject to
risks, contingencies and uncertainties, most of which are difficult
to predict and many of which are beyond the Company's
control. Investors should not place undue reliance on these
forward-looking statements.
Contact: Peter J. Nelson
American Homes 4 Rent
Tel: (310) 774-5394
SOURCE American Homes 4 Rent