Armada Hoffler Announces Commencement of Public Offering of Common Stock
Armada Hoffler (NYSE: AHH) has announced the commencement of an underwritten public offering of 7,000,000 shares of its common stock. The company has also granted underwriters a 30-day option to purchase up to an additional 1,050,000 shares. The net proceeds will be used to repay loans secured by Chronicle Mill, Premier, and Market at Mill Creek, as well as outstanding amounts under the company's revolving credit facility. Any remaining funds will be allocated for general corporate purposes and working capital.
Jefferies, BofA Securities, and Barclays are serving as joint book-running managers for the offering. The offering is being made pursuant to a shelf registration statement on Form S-3, which became automatically effective upon filing with the SEC on February 28, 2023. A prospectus supplement relating to the offering will be filed with the SEC.
Armada Hoffler (NYSE: AHH) ha annunciato l'avvio di un'offerta pubblica sottoscritta di 7.000.000 azioni delle sue azioni ordinarie. L'azienda ha anche concesso agli underwriter un'opzione di 30 giorni per acquistare fino a ulteriori 1.050.000 azioni. I proventi netti saranno utilizzati per rimborsare prestiti garantiti da Chronicle Mill, Premier e Market at Mill Creek, oltre agli importi pendenti sotto la linea di credito revolving dell'azienda. Eventuali fondi residui saranno destinati a scopi aziendali generali e capitale circolante.
Jefferies, BofA Securities e Barclays stanno fungendo da manager principali per l'offerta. L'offerta è effettuata ai sensi di una dichiarazione di registrazione shelf su Form S-3, che è diventata automaticamente efficace al momento della registrazione presso la SEC il 28 febbraio 2023. Un supplemento di prospetto relativo all'offerta sarà depositato presso la SEC.
Armada Hoffler (NYSE: AHH) ha anunciado el inicio de una oferta pública bajo suscripción de 7,000,000 acciones de sus acciones ordinarias. La empresa también ha otorgado a los suscriptores una opción de 30 días para comprar hasta 1,050,000 acciones adicionales. Los ingresos netos se utilizarán para reembolsar préstamos garantizados por Chronicle Mill, Premier y Market at Mill Creek, así como montos pendientes bajo la línea de crédito rotatorio de la empresa. Cualquier fondo restante se destinará a fines corporativos generales y capital de trabajo.
Jefferies, BofA Securities y Barclays están actuando como gerentes conjuntos de libro para la oferta. La oferta se realiza de acuerdo con una declaración de registro en estante en el Formulario S-3, que se volvió automáticamente efectiva al presentarse ante la SEC el 28 de febrero de 2023. Se presentará un suplemento del prospecto relacionado con la oferta ante la SEC.
아르마다 호플러 (NYSE: AHH)는 7,000,000주의 보통주에 대한 인수 공모의 시작을 발표했습니다. 회사는 또한 인수자에게 1,050,000주를 추가로 구매할 수 있는 30일 선택권을 부여했습니다. 순수익은 Chronicle Mill, Premier, Market at Mill Creek로 담보된 대출을 상환하고, 회사의 회전 신용 시설에 의한 미결제 금액을 줄이는 데 사용될 예정입니다. 잔여 자금은 일반 기업 목적 및 운전 자본으로 배분될 것입니다.
제퍼리, BofA 증권 및 바클레이스가 공동 북마니저로서 이번 공모를 진행하고 있습니다. 이번 공모는 2023년 2월 28일 SEC에 제출하면서 자동으로 발효된 S-3 양식의 선반 등록 제도를 따릅니다. 공모와 관련된 안내서 보충 자료가 SEC에 제출될 예정입니다.
Armada Hoffler (NYSE: AHH) a annoncé le lancement d'une offre publique souscrit de 7 000 000 actions de ses actions ordinaires. L'entreprise a également accordé aux souscripteurs une option de 30 jours pour acheter jusqu'à 1 050 000 actions supplémentaires. Les produits nets seront utilisés pour rembourser des prêts garantis par Chronicle Mill, Premier et Market at Mill Creek, ainsi que des montants restants au titre de la facilité de crédit renouvelable de la société. Les fonds restants seront affectés à des fins d'entreprise générales et au fonds de roulement.
Jefferies, BofA Securities et Barclays agissent en tant que gestionnaires principaux conjoints de l'offre. L'offre est faite conformément à une déclaration d'enregistrement de type shelf sur le formulaire S-3, qui est devenue automatiquement effective dès son dépôt auprès de la SEC le 28 février 2023. Un supplément de prospectus relatif à l'offre sera déposé auprès de la SEC.
Armada Hoffler (NYSE: AHH) hat den Beginn eines öffentlich angebotenen, unterzeichneten Angebots über 7.000.000 Aktien ihrer Stammaktien bekannt gegeben. Das Unternehmen hat den Underwritern außerdem eine 30-tägige Option eingeräumt, bis zu 1.050.000 Aktien zusätzlich zu kaufen. Die Nettomittel werden verwendet, um Darlehen zurückzuzahlen, die durch Chronicle Mill, Premier und Market at Mill Creek gesichert sind, sowie um ausstehende Beträge im Rahmen der revolvierenden Kreditfazilität des Unternehmens zu begleichen. Alle verbleibenden Mittel werden für allgemeine Unternehmenszwecke und Betriebskapital verwendet.
Jefferies, BofA Securities und Barclays fungieren als gemeinsame Buchführer für das Angebot. Das Angebot erfolgt gemäß einer Shelf-Registrierungsanmeldung auf dem Formular S-3, die am 28. Februar 2023 bei der SEC eingereicht wurde und automatisch wirksam wurde. Ein Prospektzusatz, der sich auf das Angebot bezieht, wird bei der SEC eingereicht.
- Potential to raise significant capital through the public offering of 7,000,000 shares
- Option for underwriters to purchase additional 1,050,000 shares, potentially increasing capital raised
- Proceeds will be used to repay loans and revolving credit facility, potentially improving the company's debt position
- Offering backed by reputable financial institutions as joint book-running managers
- Potential dilution of existing shareholders' ownership due to the issuance of new shares
- Market reaction to the offering may negatively impact stock price in the short term
Insights
Armada Hoffler's announcement of a public offering of 7,000,000 common stock shares, with an option for an additional 1,050,000 shares, is a significant capital-raising move. This offering aims to refinance existing loans and bolster the company's financial position. The use of proceeds to repay specific loans secured by Chronicle Mill, Premier and Market at Mill Creek, as well as reducing revolving credit facility debt, indicates a strategic debt restructuring effort.
The involvement of major underwriters like Jefferies, BofA Securities and Barclays lends credibility to the offering. However, investors should note that this will lead to dilution of existing shareholders' stakes. The impact on the stock price could be negative in the short term due to increased supply of shares, but the improved balance sheet may benefit the company long-term.
With a current market cap of
VIRGINIA BEACH, Va., Sept. 25, 2024 (GLOBE NEWSWIRE) -- Armada Hoffler (NYSE: AHH) today announced that it has commenced an underwritten public offering of 7,000,000 shares of its common stock. The Company also has granted the underwriters a 30-day option to purchase up to an additional 1,050,000 shares of its common stock.
The Company intends to use the net proceeds from the offering to repay (A) the loan secured by Chronicle Mill, (B) the loan secured by Premier, (C) the loan secured by Market at Mill Creek and (D) amounts outstanding under the Company’s revolving credit facility, with any remaining net proceeds being used for general corporate purposes and working capital.
Jefferies, BofA Securities and Barclays are serving as the joint book-running managers for the offering.
Copies of the preliminary prospectus supplement and accompanying prospectus related to these securities may be obtained from: (i) Jefferies LLC, Attention: Equity Syndicate Prospectus Department, 520 Madison Avenue, New York, NY 10022, by telephone at (877) 821-7388, or by email at Prospectus_Department@Jefferies.com, (ii) BofA Securities, Inc., NC1-022-02-25, 201 North Tryon Street, Charlotte, NC 28255-0001, Attn: Prospectus Department, Email: dg.prospectus_requests@bofa.com and (iii) Barclays Capital Inc., c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717, telephone: (888) 603-5847.
The offering is being made pursuant to a shelf registration statement on Form S-3, which became automatically effective upon filing with the Securities and Exchange Commission on February 28, 2023. A prospectus supplement relating to the offering will be filed with the Securities and Exchange Commission. Prospective investors should read the prospectus forming a part of that registration statement and the prospectus supplement related to the offering, when available, and the other documents that the Company has filed with the Securities and Exchange Commission for more complete information about the Company and the offering. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any of these securities, nor shall there be any sale of these securities 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 any such state or other jurisdiction.
About Armada Hoffler
Armada Hoffler (NYSE: AHH) is a vertically integrated, self-managed real estate investment trust (“REIT”) with over four decades of experience developing, building, acquiring, and managing high-quality multifamily, office, and retail properties located primarily in the Mid-Atlantic and Southeastern United States. The Company also provides general construction and development services to third-party clients, in addition to developing and building properties to be placed in their stabilized portfolio. Founded in 1979 by Daniel A. Hoffler, Armada Hoffler has elected to be taxed as a REIT for U.S. federal income tax purposes.
Forward-Looking Statements
Certain matters within this press release are discussed using forward-looking language as specified in the Private Securities Litigation Reform Act of 1995, and, as such, may involve known and unknown risks, uncertainties and other factors that may cause the actual results or performance to differ from those projected in the forward-looking statement. These statements relate to the Company’s offering of common stock and the anticipated use of the net proceeds. No assurance can be given that the offering will be completed on the terms described, or at all, or that the net proceeds from the offering will be used as indicated. Completion of the offering on the terms described and the application of net proceeds are subject to numerous conditions, many of which are beyond the control of the Company, including, market conditions, general economic conditions and other factors, including those set forth under the heading “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, and those set forth in other documents filed by the Company from time to time with the Securities and Exchange Commission.
Contact:
Chelsea D. Forrest
Armada Hoffler
Vice President of Corporate Communications and Investor Relations
Email: CForrest@armadahoffler.com
Phone: (757) 612.4248
FAQ
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