Single tenant retail real estate investment trust Agree Realty Corp. closed its underwritten public offering of 3.0 million shares of its common stock at $48.00 apiece.
The underwriters exercised in full their 30-day option to buy 450,000 additional shares of common stock, bringing the total expected gross proceeds to $165.6 million.
The company entered into a forward sale agreement with Citibank NA for the shares.
Initially, the company will not receive any proceeds from the sale of shares of its common stock to Citibank. However, Agree expects to use the net proceeds from the offering for property purchases and development activity, with the balance to be used for general working capital and corporate purposes, including reducing the outstanding balance on the company's revolving credit facility.
Citigroup served as sole book-running manager for the offering. Raymond James, Wells Fargo Securities, Stifel, Baird, Capital One Securities, PNC Capital Markets LLC and BTIG acted as co-managers.