BETHESDA, Md., Nov. 6, 2014 /PRNewswire/ -- Saul Centers, Inc. (NYSE: BFS) (the "Company")
today announced that it priced 1,600,000 depositary shares, each
representing a 1/100th fractional interest in a share of
the Company's 6.875% Series C Cumulative Redeemable Preferred
Stock, at a public offering price of $25.17 per depositary share. The depositary
shares represent a new issuance of additional depositary shares
that were first issued on February 12,
2013. The dividend rate of the Series C Cumulative
Redeemable Preferred Stock underlying the depositary shares will be
at a fixed rate of 6.875% of the $25.00 liquidation preference per year, which is
equivalent to an annual dividend of $1.71875 per depositary share. Dividends
will be paid quarterly in arrears. The Company estimates that
net proceeds from this offering, after deducting underwriting
discounts, commissions and estimated offering expenses, will be
approximately $39.2 million.
The Company intends to use the net proceeds from this offering,
together with cash on hand, to redeem all outstanding shares of its
8% Series A Cumulative Redeemable Preferred Stock and the related
depositary shares.
The offering is expected to close on or about November 12, 2014, subject to customary closing
conditions. The Company anticipates listing the depositary shares
on the New York Stock Exchange.
The sole book running manager for the offering is Raymond James & Associates, Inc.
This communication 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. The offering is being made pursuant to
the Company's existing shelf registration statement, previously
filed with the Securities and Exchange Commission. The
offering of these securities will be made only by means of a
prospectus and a related preliminary prospectus supplement..
Copies of the prospectus and the preliminary prospectus supplement
relating to these securities may be obtained from Raymond James & Associates, Inc. by calling
toll-free 800-248-8863 or writing to
prospectus@raymondjames.com. You may also obtain a copy of
the prospectus and the prospectus supplement, subject to
completion, and other documents the Company has filed with the
Securities and Exchange Commission for free by visiting the
Commission's Web site at www.sec.gov.
Saul Centers is a self-managed,
self-administered equity real estate investment trust headquartered
in Bethesda, Maryland.
Saul Centers currently operates and
manages a real estate portfolio of 50 shopping center properties
and six mixed-use properties, which are comprised of office, retail
and multi-family residential uses, and owns three (non-operating)
development properties. Over 85% of the Company's cash flow is
generated from properties in the metropolitan Washington, DC/Baltimore, MD area.
Statements in this press release that are not strictly
historical are "forward-looking" statements, including statements
with regard to the Company's securities offering and the
anticipated use of the net proceeds. Forward-looking
statements involve known and unknown risks, which may cause the
Company's actual results to differ materially from expected
results. No assurance can be given that the securities
offering discussed above will be completed on the terms described,
or at all, or that the net proceeds of the offering will be used as
indicated. Completion of the securities offering on the terms
described, and the application of net proceeds, are subject to
numerous conditions, many of which are beyond the control of the
Company, including, without limitation, general economic
conditions, local real estate conditions and the availability of
capital. Additional information concerning these and other
factors that could cause actual results to differ materially from
those forward-looking statements is contained from time to time in
the Company's Securities and Exchange Commission filings,
including, but not limited to, Item 1A. Risk Factors of the
Company's annual report on Form 10-K. Copies of each filing
may be obtained from the Company or the Securities and Exchange
Commission. The Company undertakes no obligation to publicly
release the results of any revisions to these forward-looking
statements that may be made to reflect events or circumstances
after the date these statements were made.
SOURCE Saul Centers, Inc.