CLEVELAND, May 4, 2015 /PRNewswire/ -- Forest City
Enterprises, Inc. (NYSE: FCEA and FCEB) today announced that,
subject to market and other conditions, it plans to offer 32.5
million newly issued shares of Class A common stock in an
underwritten public offering, pursuant to its effective shelf
registration statement previously filed with the Securities and
Exchange Commission (SEC) (File No. 333200825). The company also
announced that it expects to grant the underwriters a 30-day option
to purchase up to an additional 4.875 million shares.
The joint book-running managers for this offering will be BofA
Merrill Lynch, Goldman, Sachs & Co. and
Citigroup.
The company intends to use up to $400
million of the net proceeds to finance its previously
announced acquisition of the 49 percent equity interest of Health
Care REIT, Inc. (NYSE: HCN) in seven life-science office buildings
and two parking facilities at University Park at MIT in Cambridge,
Massachusetts. It further intends to use remaining net
proceeds to pay off or otherwise reduce debt and for general
corporate purposes.
A preliminary prospectus supplement to the prospectus contained
in the shelf registration statement related to the offering has
been filed with the SEC and is available on the SEC's website at
www.sec.gov. Printed copies of the preliminary prospectus
supplement relating to this offering, when available, and the
accompanying prospectus may also be obtained by requesting copies
from BofA Merrill Lynch, Goldman, Sachs & Co., or Citigroup, by
contacting BofA Merrill Lynch at 222 Broadway, New York, NY 10038, Attention: Prospectus
Department or emailing at dg.prospectus_requests@baml.com; calling
Goldman, Sachs & Co. toll free at 18664712526 or by emailing
prospectusny@ny.email.gs.com; or by contacting Citigroup, c/o
Broadridge Financial Solutions, 1155 Long Island Avenue,
Edgewood, NY 11717 or calling toll
free at 18008319146.
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 other jurisdiction in which such
offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of such state or other
jurisdiction.
Corporate Description
Forest City Enterprises, Inc.
is an NYSE-listed national real estate company engaged in the
ownership, development, management and acquisition of commercial
and residential real estate throughout the United States.
Safe Harbor Language
Statements made in this press release regarding the proposed
offering of shares of Class A common stock are forwardlooking
statements. The company may be unable to sell any shares of Class A
common stock. Risks and other factors that could cause the offering
not to be completed, or to be completed with different terms,
include market conditions and volatility in the market price of the
company's publicly traded securities, as well as other risks listed
from time to time in the company's filings with the SEC, including
but not limited to, the company's annual and quarterly reports. The
company has no obligation to revise or update any forwardlooking
statements, other than imposed by law, as a result of future events
or new information. Readers are cautioned not to place undue
reliance on such forward-looking statements.
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SOURCE Forest City Enterprises, Inc.