Broadstone Net Lease, Inc. Announces Public Offering of Common Stock

Rhea-AI Summary

Broadstone Net Lease, Inc. (BNL) has initiated an underwritten public offering of 10,000,000 shares of its common stock, with the potential for an additional 1,500,000 shares via an underwriters' option. The proceeds will be utilized to reduce borrowings under a $900 million revolving credit facility, finance acquisition opportunities, and cover general corporate expenses. Goldman Sachs & Co. LLC and BMO Capital Markets are the joint lead book-running managers for this offering. A shelf registration statement became effective on June 23, 2021, with documents available on the SEC's website.

Positive

• Proceeds will be used to pay down $900 million revolving credit facility, strengthening financial health.
• Additional funds will support potential acquisition opportunities, indicating growth prospects.

Negative

• Issuance of 10 million shares may dilute existing shareholders' equity.

Broadstone Net Lease, Inc., an internally-managed real estate investment trust (“BNL”), today announced that it has commenced an underwritten public offering of 10,000,000 shares of its common stock. All shares of common stock to be sold in the offering will be offered by BNL. BNL intends to grant the underwriters a 30-day option to purchase up to an additional 1,500,000 shares of its common stock. Goldman Sachs & Co. LLC and BMO Capital Markets are acting as joint lead book-running managers for the proposed offering. BNL will contribute the net proceeds of the proposed offering to its operating partnership, Broadstone Net Lease, LLC, which intends to subsequently use such net proceeds to pay down outstanding borrowings under BNL’s $900 million revolving credit facility, fund potential acquisition opportunities and for other general corporate and working capital purposes.

A shelf registration statement (including a prospectus) relating to these securities was filed on June 23, 2021 with the Securities and Exchange Commission (the “SEC”) and automatically became effective upon filing. Before you invest, you should read the prospectus in that registration statement and the documents incorporated by reference in that registration statement, as well as the prospectus supplement related to this offering. Copies of these documents are available at no charge on the SEC’s website at www.sec.gov. Alternatively, copies of the prospectus supplement and the accompanying prospectus may be obtained, when available, from: Goldman Sachs & Co. LLC, Attention: Prospectus Department, 200 West Street, New York, NY 10282, or by telephone at (866) 471-2526, or by email at prospectus-ny@ny.email.gs.com; and BMO Capital Markets Corp., Attention: Equity Syndicate Department, 3 Times Square, 25th Floor, New York, NY 10036, or by telephone at (800) 414-3627, or by email at bmoprospectus@bmo.com.

The offering of these securities is being made only by means of a prospectus supplement and an accompanying prospectus. This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or jurisdiction.

About Broadstone Net Lease, Inc.

BNL is an internally-managed REIT that acquires, owns, and manages primarily single-tenant commercial real estate properties that are net leased on a long-term basis to a diversified group of tenants. BNL utilizes an investment strategy underpinned by strong fundamental credit analysis and prudent real estate underwriting. As of March 31, 2021, BNL’s diversified portfolio consisted of 661 individual net leased commercial properties with 660 located in 41 U.S. states and one property located in Canada across the industrial, healthcare, restaurant, office, and retail property types.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210623005933/en/

FAQ

What is the public offering size for Broadstone Net Lease (BNL)?

Broadstone Net Lease (BNL) has announced a public offering of 10,000,000 shares of its common stock.

What will the proceeds from Broadstone Net Lease's (BNL) offering be used for?

The proceeds will pay down borrowings under a $900 million revolving credit facility, fund acquisitions, and cover general corporate expenses.

Who are the underwriters for Broadstone Net Lease's (BNL) offering?

Goldman Sachs & Co. LLC and BMO Capital Markets are acting as joint lead book-running managers for the offering.

Is there a possibility of additional shares being offered by Broadstone Net Lease (BNL)?

Yes, BNL intends to grant underwriters a 30-day option to purchase up to an additional 1,500,000 shares.

When was the shelf registration statement for Broadstone Net Lease (BNL) filed?

The shelf registration statement was filed on June 23, 2021, and automatically became effective upon filing.