Armada HofflerProperties Inc. rolled out a new at-the-market equity offeringprogram through which the company may sell up to $75.0 million of its commonshares.
Accordingly, the company and its operating partnership,Armada Hoffler LP on May 4 signed separate equity sales agreements each withMerrill Lynch Pierce Fenner & Smith Inc., Robert W. Baird & Co. Inc.and Jefferies LLC as sales agents. The company simultaneously terminated theexisting equity salesagreements signed May 5, 2015, with Merrill Lynch and Baird.
The actual sale of the shares under the continuous offeringprogram will be contingent on Armada Hoffler's common stock trading price,market conditions and other factors, according to a filing.
Armada Hoffler noted that shares may be sold directly on theNYSE, to or through a market maker, through an electronic communicationsnetwork or other transactions considered to be at-the-market offerings asdefined in Rule 415 under the Securities Act of 1933, as amended.
The company will inject the net proceeds into Armada HofflerLP in exchange for units of limited partnership interest in the operatingpartnership. In turn, the operating partnership will use the funds to supportdevelopment or redevelopment activities, finance potential acquisitionopportunities, repay indebtedness or for general corporate purposes.