Alexandria Real Estate Equities, Inc. Announces Public Offering of Senior Notes
Rhea-AI Summary
Alexandria Real Estate Equities (NYSE: ARE) has announced an underwritten public offering of senior notes. The notes will be unsecured obligations of the company and fully guaranteed by Alexandria Real Estate Equities, L.P., its indirectly owned subsidiary. Goldman Sachs, BofA Securities, Citigroup, J.P. Morgan Securities, and RBC Capital Markets will serve as joint book-running managers.
The net proceeds will primarily be used to redeem or repay the company's 3.45% Senior Notes due April 30, 2025. Pending this use, funds will be invested in high-quality short-term securities or used for general working capital, including potential debt reduction, property development, redevelopment, or acquisitions.
Positive
- Strategic debt management through refinancing of existing notes
- Strong backing from major financial institutions as joint book-running managers
- Flexible use of proceeds allowing for debt reduction and property development opportunities
Negative
- Additional debt obligation through new notes issuance
- Potential increase in interest expenses depending on new notes' terms
News Market Reaction – ARE
In the trading session that priced this news, ARE gained 0.06%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
The Company expects the net proceeds from this offering will be used to redeem or repay at maturity all or a portion of the Company's
The notes are being offered pursuant to an effective registration statement on Form S-3 that was previously filed with the Securities and Exchange Commission. This press release does not constitute an offer to sell or the solicitation of an offer to buy any of the Company's notes, nor shall there be any sale of the notes in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.
Copies of the prospectus supplement relating to this offering, when available, may be obtained by contacting: Goldman Sachs & Co. LLC, Attn: Prospectus Department, at 200 West Street,
About Alexandria Real Estate Equities, Inc.
Alexandria, an S&P 500® company, is a best-in-class, mission-driven life science REIT making a positive and lasting impact on the world. With our founding in 1994, Alexandria pioneered the life science real estate niche. Alexandria is the preeminent and longest-tenured owner, operator and developer of collaborative Megacampus™ ecosystems in AAA life science innovation cluster locations, including
Forward-Looking Statements
This press release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements include, without limitation, statements regarding the Company's offering of the notes and its intended use of the proceeds. These forward-looking statements are based on the Company's present intent, beliefs or expectations, but forward-looking statements are not guaranteed to occur and may not occur. Actual results may differ materially from those contained in or implied by the Company's forward-looking statements as a result of a variety of factors, including, without limitation, the risks and uncertainties detailed in its filings with the Securities and Exchange Commission. All forward-looking statements are made as of the date of this press release, and the Company assumes no obligation to update this information. For more discussion relating to risks and uncertainties that could cause actual results to differ materially from those anticipated in the Company's forward-looking statements, and risks and uncertainties to the Company's business in general, please refer to the Company's filings with the Securities and Exchange Commission, including its most recent annual report on Form 10-K and any subsequently filed quarterly reports on Form 10-Q.
CONTACT: Sara Kabakoff, Senior Vice President – Chief Content Officer, (626) 788-5578, skabakoff@are.com
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SOURCE Alexandria Real Estate Equities, Inc.