STAG Industrial Inc. is selling 8.0 million common shares in a public offering.
The offering comprises 5.6 million shares offered directly by the industrial real estate investment trust and 2.4 million shares offered under a forward-sale agreement the REIT expects to sign with BofA Securities or its affiliate.
STAG and BofA Securities plan to grant a 30-day option to the underwriters to buy up to 1.2 million additional shares. Based on the REIT's Jan. 13 closing stock price of $32.02 per share and assuming the full exercise of the additional-share option, gross offering proceeds are expected to come to about $294.6 million.
The REIT plans to use the net proceeds to fund acquisitions, to repay outstanding debt under its $500 million unsecured credit facility, for working capital and other general corporate purposes.
BofA Securities and Wells Fargo Securities will be the joint book-running managers for the offering.