Kimco Realty Announces $400 Million 6.00% Perpetual Preferred Stock Offering
Kimco Realty Corporation (NYSE: KIM) today announced the offering of 16,000,000 depositary shares, each representing a 1/1000 fractional interest in a share of the company's 6.00% Class I Cumulative Redeemable Preferred Stock, $1.00 par value per share. These depositary shares, priced at $25.00 per depositary share, entitle holders of each depositary share to a 6.00% cumulative dividend or $1.50 per annum, are not convertible into common stock and are redeemable at par at the option of the company on and after March 20, 2017. The company has granted the underwriters a 30-day option to purchase up to an additional 2,400,000 depositary shares to cover over-allotments, if any.
The company intends to use the net proceeds received from the offering for general corporate purposes, including to reduce borrowings outstanding under its revolving credit facility by at least $225 million and to redeem shares of the company's preferred stock when they become redeemable at the company's option.
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