WAKEFIELD, Mass.--(BUSINESS WIRE)--
Franklin Street Properties Corp. (the “Company” or “FSP”) (NYSE MKT:
FSP) today announced that it has commenced an underwritten public
offering of 6,125,000 shares of its common stock. The underwriters are
expected to be granted a 30-day option to purchase up to an additional
918,750 shares.
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. The offering
is not contingent upon the redevelopment of 801 Marquette.
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 are acting as active bookrunners, Stifel
is acting as passive bookruner and Wunderlich is acting as senior
co-manager for the offering.
This offering will be 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. The offering may be
made only by means of a prospectus supplement and the related prospectus.
A copy of the preliminary prospectus supplement and the final prospectus
supplement (when available) 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 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 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/20160810006115/en/
For Franklin Street Properties Corp.
Georgia Touma, 877-686-9496
Source: Franklin Street Properties Corp.