This page is temporarily not available. Please check later as it should be available shortly. If you have any questions, please email customer support at firstname.lastname@example.org or call 800-767-3771 ext. 9339.
Real estate investment trust (REIT) – Sun Communities Inc. (SUI - Snapshot Report) disclosed the pricing of public offering of 5,000,000 shares of its common stock recently at $45.25 per share. The move will help the company infuse capital for its operating activities as well as debt pay offs.
The size of the offering by Sun Communities signifies an increase from the previously announced planned offering of 4,500,000 shares of its common stock. Moreover, the underwriters have been granted a 30-day option to acquire up to an additional 750,000 shares of its common stock.
For Sun Communities, though the public offering would result in share dilution, the capital raise would help increase its financial flexibility. The company intends to use it for reducing its debt level, funding acquisition deals as well as for working capital needs. Such moves, in turn, would help lower its interest expenses and aid top-line expansion, which would ultimately lead to value creation for its shareholders.
The offering is expected to close on Mar 18, 2013, subject to customary closing conditions. The joint book-running managers for the offering are BofA Merrill Lynch of Bank of America Corp. (BAC - Analyst Report), Citigroup Inc. (C - Analyst Report) and BMO Capital Markets while senior co-managers are PNC Capital Markets LLC of The PNC Financial Services Group Inc. (PNC - Analyst Report), Raymond James and RBC Capital Markets.
Headquartered in Southfield, Mich., Sun Communities owns, operates, and develops and expands manufactured housing and recreational vehicle in the midwestern, southern, and southeastern United States. Presently the company operates a portfolio of 183 communities totaling approximately 67,380 developed sites.
Sun Communities currently retains a Zacks Rank #2 (Buy).