American Finance Trust Inc. priced its underwritten public offering of 3.0 million shares of its 7.50% series A cumulative redeemable perpetual preferred stock at a gross offering price of $25.25 per share.
The company has granted underwriters a 30-day overallotment option to acquire up to an additional 450,000 shares.
Net proceeds from the offering are expected to be about $73.4 million, assuming the overallotment option is not exercised. The net proceeds are marked for general corporate purposes, including the purchase of additional properties.
The transaction is expected to close on or about Sept. 9.
BMO Capital Markets Corp. and B. Riley FBR Inc. are the joint book-running managers for the offering. Janney Montgomery Scott LLC, Ladenburg Thalmann & Co. Inc. and William Blair & Co. LLC are the joint lead managers, with Boenning & Scattergood Inc. and National Securities Corp. as co-managers.
