STAG INDUSTRIAL TO ISSUE $550 MILLION OF SENIOR UNSECURED NOTES

Rhea-AI Summary

STAG Industrial (NYSE:STAG) has announced a significant private placement offering of $550 million in senior unsecured notes. The notes will be issued with a weighted average fixed interest rate of 5.65% and a weighted average tenor of 6.5 years.

The offering consists of three tranches:

• $350 million at 5.50% maturing June 25, 2030 (5-year term)
• $100 million at 5.82% maturing June 25, 2033 (8-year term)
• $100 million at 5.99% maturing June 25, 2035 (10-year term)

The transaction is expected to close on June 25, 2025. The notes will not be registered under the Securities Act of 1933 and cannot be offered or sold in the United States without registration or applicable exemption.

Positive

• Successful private placement of $550M demonstrates strong market confidence
• Staggered maturity dates (2030-2035) provide debt structure flexibility
• Fixed interest rates protect against future rate increases

Negative

• Increased debt burden with $550M in new notes
• Higher interest expense with rates ranging from 5.50% to 5.99%

BOSTON, April 15, 2025 /PRNewswire/ -- STAG Industrial, Inc. (the "Company") (NYSE:STAG) today announced that it entered into a note purchase agreement to issue $550 million of fixed rate senior unsecured notes in a private placement offering with a weighted average fixed interest rate of 5.65% and a weighted average tenor of 6.5 years. The transaction consists of $350 million of 5.50% notes with a five-year term maturing on June 25, 2030; $100 million of 5.82% notes with an eight-year term maturing on June 25, 2033; and $100 million of 5.99% notes with a ten-year term maturing on June 25, 2035.

The Company anticipates closing the offering on June 25, 2025.

The notes have not been and will not be registered under the Securities Act of 1933 or the securities laws of any state or other jurisdiction and may not be offered or sold in the United States or any other jurisdiction absent registration or an exemption from the registration requirements of the Securities Act of 1933 and the applicable securities laws of any state or other jurisdiction.

About STAG Industrial, Inc.

STAG Industrial, Inc. is a real estate investment trust focused on the acquisition, ownership, and operation of industrial properties throughout the United States. As of December 31, 2024, the Company's portfolio consists of 591 buildings in 41 states with approximately 116.6 million rentable square feet.

For additional information, please visit the Company's website at www.stagindustrial.com.

Forward-Looking Statements

This press release, together with other statements and information publicly disseminated by the Company, contains certain 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. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and includes this statement for purposes of complying with these safe harbor provisions. Forward-looking statements, which are based on certain assumptions and describe the Company's future plans, strategies and expectations, are generally identifiable by use of the words "believe," "will," "expect," "intend," "anticipate," "estimate," "should," "project" or similar expressions. You should not rely on forward-looking statements since they involve known and unknown risks, uncertainties and other factors that are, in some cases, beyond the Company's control and which could materially affect actual results, performances or achievements. Factors that may cause actual results to differ materially from current expectations include, but are not limited to, the risk factors discussed in the Company's annual report on Form 10-K for the year ended December 31, 2024, as updated by the Company's quarterly reports on Form 10-Q. Accordingly, there is no assurance that the Company's expectations will be realized. Except as otherwise required by the federal securities laws, the Company disclaims any obligation or undertaking to publicly release any updates or revisions to any forward-looking statement contained herein (or elsewhere) to reflect any change in the Company's expectations with regard thereto or any change in events, conditions, or circumstances on which any such statement is based.

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SOURCE STAG Industrial, Inc.

FAQ

What is the total value and average interest rate of STAG Industrial's new senior unsecured notes?

STAG Industrial is issuing $550 million in senior unsecured notes with a weighted average fixed interest rate of 5.65%.

When will STAG Industrial's new senior unsecured notes mature?

The notes have three maturity dates: $350M in June 2030, $100M in June 2033, and $100M in June 2035.

What are the interest rates for each tranche of STAG's 2025 note offering?

The notes have three rates: 5.50% for the 5-year notes, 5.82% for the 8-year notes, and 5.99% for the 10-year notes.

When is STAG Industrial expected to close the $550M note offering?

STAG Industrial anticipates closing the note offering on June 25, 2025.