Phillips Edison & Company Inc., a publicly registered non-traded real estate investment trust that invests in grocery-anchored shopping centers, has filed a registration statement to offer 17 million shares of its common stock to the public.
The initial public offering price is expected to be between $28.00 and $31.00 per share, before underwriting discounts and commissions. Adjusting for the one-for-three reverse stock split that was executed on July 2, the initial public offering price would be expected to be between $9.33 and $10.33 per share, before underwriting discounts and commissions.
The company intends to use the net proceeds from the proposed offering to pay off its $375 million unsecured term loan, fund external growth with property acquisitions, and fund other general corporate uses.
PECO also intends to grant the underwriters a 30-day option to purchase up to an additional 2.55 million shares.
The DI Wire reported on the proposed offering in May, but the number of shares and price range had not yet been determined.
PECO expects that its common stock will be approved for listing, subject to notice of issuance, on the Nasdaq Global Select Market under the ticker symbol “PECO.”
Morgan Stanley, BofA Securities, J.P. Morgan, BMO Capital Markets, Goldman Sachs & Co. LLC, KeyBanc Capital Markets, Mizuho Securities and Wells Fargo Securities are acting as joint book-running managers for the offering. BTIG, Capital One Securities, Fifth Third Securities, PNC Capital Markets LLC and Regions Securities LLC are acting as co-managers for the offering.
Last week, the company reportedly refinanced one of its term loans and secured a new $980 million unsecured credit facility.
Phillips Edison & Company Inc. (formerly known as Phillips Edison Grocery Center REIT I Inc.) is one of the nation’s largest owners and operators of grocery-anchored shopping centers and oversees a portfolio of 278 properties, totaling approximately 31.3 million square feet, located in 31 states. The company’s offering was declared effective by the SEC in August 2010 and raised approximately $1.8 billion in investor equity before closing in February 2014.