WAKEFIELD, Mass.--(BUSINESS WIRE)--
Franklin Street Properties Corp. (the “Company” or “FSP”) (NYSE MKT:
FSP) today announced the pricing of its previously-announced public
offering of 15.0 million shares of its common stock at a price of $14.00
per share, for net proceeds of approximately $201.1 million after
underwriting discounts and commissions and estimated offering expenses
(or approximately $231.3 million if the underwriters' option to purchase
additional shares is exercised in full). FSP has granted the
underwriters the option to purchase up to an additional 2.25 million
shares of common stock. The offering is expected to close on May 15,
2013.
The Company intends to use the net proceeds of the offering to fund a
portion of its acquisition of 999 Peachtree, a Class-A office building
in Atlanta, GA, and 1999 Broadway, a Class-A office building in Denver,
CO. These properties are currently under contract and the acquisitions
are expected to close on or before July 1. This offering is not
contingent upon the closing of either acquisition and pending closing of
the acquisitions, the Company intends to use the net proceeds from this
offering to repay amounts outstanding under its revolving credit
facility and/or for general corporate purposes. In the event that either
or both acquisitions are not completed, the Company intends to use the
net proceeds of this offering to repay amounts outstanding from time to
time under its revolving credit facility and/or for general corporate
purposes, including funding future acquisitions and investments.
BofA Merrill Lynch, Baird and BMO Capital Markets are acting as joint
book-running managers for the offering. PNC Capital Markets LLC, RBS,
Capital One Southcoast, Piper Jaffray, TD Securities and BB&T Capital
Markets are acting as co-managers for the offering.
This offering will be made pursuant to a prospectus supplement to the
Company’s prospectus dated April 27, 2012, filed as part of the
Company’s effective shelf registration statement relating to these
securities. This press release shall not constitute an offer to sell or
the solicitation of an offer to buy the shares described herein or any
other securities, nor shall there be any sale of these shares 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. The offering may be
made only by means of a prospectus supplement and the related prospectus.
A copy of the preliminary prospectus supplement, final prospectus
supplement (when available) and the base prospectus relating to the
shares can be obtained by contacting the underwriters as follows: BofA
Merrill Lynch, 222 Broadway, New York, NY 10038, Attn: Prospectus
Department or email at dq.prospectus_requests@baml.com;
Robert W. Baird & Co. Incorporated, 777 E. Wisconsin Avenue, Milwaukee,
WI 53202, Attn: Syndicate Department or by email at syndicate@rwbaird.com;
or BMO Capital Markets, 3 Times Square, 28th Floor, New York,
NY 10036, Attn: Syndicate Desk or by telephone at (800) 414-3627. You
may also obtain these documents by visiting the EDGAR database on the
SEC’s web site at www.sec.gov.
About Franklin Street Properties
Franklin Street Properties Corp., based in Wakefield, Massachusetts, is
focused on achieving current income and long-term growth through
investments in commercial properties. FSP’s property portfolio consists
of office properties. FSP is a Maryland corporation that operates in a
manner intended to qualify as a real estate investment trust (REIT) for
federal income tax purposes.
Forward-Looking Statements
Certain matters discussed in this press release are forward-looking
statements within the meaning of the federal securities laws and are
subject to uncertainties and risk and actual results may differ
materially from projections, including matters related to the commenced
public offering and intended use of proceeds. Readers should carefully
review the Company’s financial statements and notes thereto, as well as
the risk factors described in Part I, Item 1A of the Company’s Annual
Report on Form 10-K for the year ended December 31, 2012 and other
documents the Company files from time to time with the Securities and
Exchange Commission. Such forward-looking statements are based on
current expectations and speak as of the date of such statements. The
Company undertakes no obligation to publicly update or revise any
forward-looking statement, whether as a result of future events, new
information or otherwise.
Franklin Street Properties Corp.
John Demeritt, 877-686-9496
Source: Franklin Street Properties Corp.