WAKEFIELD, Mass.--(BUSINESS WIRE)--
Franklin Street Properties Corp. (the “Company” or “FSP”) (NYSE MKT:
FSP) today announced that it closed its previously announced
underwritten public offering of 7,043,750 shares of its common stock,
including 918,750 shares purchased by the underwriters pursuant to the
exercise in full of the underwriters’ option to purchase additional
shares. The Company received approximately $83.0 million in net proceeds
from the offering after deducting the underwriting discount and other
estimated offering expenses.
The Company intends to use the net proceeds of the offering to repay
approximately $45.5 million under its senior unsecured revolving credit
facility that was recently borrowed in anticipation of funding the
acquisition of Pershing Park Plaza, an urban infill Class “A” office
property located at 1420 Peachtree Street, NE, Atlanta, Georgia, and to
fund estimated redevelopment costs of $15 million to $20 million at its
property at 801 Marquette Avenue, Minneapolis, Minnesota.
Any proceeds of the offering not applied to the Pershing Park Plaza
acquisition or the 801 Marquette redevelopment will be used to repay
amounts outstanding under the Company’s senior unsecured revolving
credit facility and/or for general corporate purposes, including funding
future acquisitions and investments.
Baird and BMO Capital Markets acted as active bookrunners, Stifel acted
as passive bookrunner and Wunderlich acted as senior co-manager for the
offering. BTIG, Capital One Securities, PNC Capital Markets LLC and TD
Securities acted as co-managers for the offering.
This offering was made pursuant to a prospectus supplement to the
Company’s prospectus, dated January 12, 2015, 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.
A copy of the final prospectus supplement relating to the shares can be
obtained by contacting the underwriters as follows: Robert W. Baird &
Co. Incorporated, 777 E. Wisconsin Avenue, Milwaukee, WI 53202, Attn:
Syndicate Department or by telephone at (800) 792-2473 or by email at syndicate@rwbaird.com;
BMO Capital Markets, 3 Times Square, 25th Floor, New York, NY 10036,
Attn: Syndicate Desk or by telephone at (800) 414-3627; Stifel, Nicolaus
& Company, Incorporated, Attn: Syndicate Department, One South Street,
15th Floor, Baltimore, MD 21202, or by telephone at (855) 300‐7136 or by
email to SyndProspectus@stifel.com;
or Wunderlich Securities, Inc., Attn: Equity Syndicate, 6000 Poplar
Avenue, Suite 150, Memphis, TN 38119, or by email at syndicate@wundernet.com.
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 investing in institutional-quality office properties in the
U.S. FSP’s strategy is to invest in select urban infill and central
business district (CBD) properties, with primary emphasis on our top
five markets of Atlanta, Dallas, Denver, Houston, and Minneapolis. FSP
seeks value-oriented investments with an eye towards long-term growth
and appreciation, as well as current income. 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 intended
use of proceeds. Readers should carefully review the Company’s financial
statements and notes thereto, as well as the risk factors described in
the prospectus supplement for the offering and in Part I, Item 1A of the
Company’s Annual Report on Form 10-K for the year ended December 31,
2015 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.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160816006079/en/
For Franklin Street Properties Corp.
Georgia Touma, 877-686-9496
Source: Franklin Street Properties Corp.