Alexandria Real Estate Equities Inc. is starting a public offering of two tranches of senior notes, subject to market conditions.
One tranche will be a new issue of securities, while the other will become part of the same series as the real estate investment trust's outstanding 4.000% senior notes due 2050, of which an aggregate principal amount of $500 million was initially issued on July 15. The notes will be fully and unconditionally guaranteed by Alexandria Real Estate Equities LP.
Alexandria intends to use the net proceeds to repay the outstanding balance on its unsecured senior bank term loan and to trim the outstanding balance on its unsecured senior line of credit. Any remaining funds will go toward general corporate purposes.
J.P. Morgan Securities LLC, Citigroup Global Markets Inc., Mizuho Securities USA LLC and TD Securities (USA) LLC will serve as joint book-running managers for the offering.
