AGOURA HILLS, Calif.,
March 22, 2017 /PRNewswire/
-- American Homes 4 Rent (NYSE: AMH) (the "Company") today
announced that it has priced an underwritten public offering of
11,000,000 of its Class A common shares of beneficial interest,
$0.01 par value per share, for
expected gross proceeds of approximately $251 million. The Company also granted to the
underwriter a 30-day option to purchase up to an additional
1,650,000 Class A common shares at the public offering price.
The offering is subject to customary closing conditions and is
expected to close on or about March 28,
2017.
Concurrently with the completion of the offering, the Company's
Chairman of the Board of Trustees, B. Wayne
Hughes, will purchase $50
million of the Company's Class A common shares in a private
placement at the public offering price, bringing the total expected
gross proceeds from the offering and the concurrent private
placement to approximately $301
million.
The Company will contribute the net proceeds from the offering
and the concurrent private placement to its operating partnership
in exchange for Class A partnership units. The operating
partnership intends to use the net proceeds received from the
Company's contribution, together with cash on hand and other
borrowings under its credit facilities, to repay in full the
outstanding indebtedness of approximately $456.1 million as of December 31, 2016 under the Company's
2014-SFR1 securitization loan.
In connection with repayment of the securitization loan, the
Company has given notice to the lender that it will repay the loan
in full on the next regular payment date of April 7, 2017.
J.P. Morgan is acting as the sole underwriter for the
offering.
The offering is being made pursuant to an effective shelf
registration statement filed with the Securities and Exchange
Commission (the "SEC") and only by means of a prospectus and
prospectus supplement. Copies of the final prospectus
supplement, when available, may be obtained by visiting EDGAR on
the SEC's website at www.sec.gov or from J.P. Morgan
Securities LLC, Attention: Broadridge Financial Solutions,
1155 Long Island Avenue, Edgewood, New
York 11717, telephone: (866) 803-9204.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of
these securities in any state or jurisdiction in which such an
offer, solicitation or sale would be unlawful before registration
or qualification thereof under the securities laws of any such
state or jurisdiction.
About American Homes 4 Rent
American Homes 4 Rent (NYSE: AMH) is a leader in the
single-family home rental industry and "American Homes 4 Rent" is
fast becoming a nationally recognized brand for rental homes, known
for high quality, good value and tenant satisfaction. We are an
internally managed Maryland real
estate investment trust, or REIT, focused on acquiring, renovating,
leasing, and operating attractive, single-family homes as rental
properties. As of December 31, 2016,
we owned approximately 48,422 single-family properties, in selected
submarkets in 22 states.
Forward-Looking Statements
This press release contains "forward-looking statements." These
forward-looking statements relate to beliefs, expectations or
intentions and similar statements concerning matters that are not
of historical fact and are generally accompanied by words such as
"estimate," "project," "predict," "believe," "expect," "intend,"
"anticipate," "potential," "plan," "goal" or other words that
convey the uncertainty of future events or outcomes. These
forward-looking statements may include, but are not limited to, the
Company's ability to complete the offering and the concurrent
private placement and the intended use of net proceeds. The Company
has based these forward-looking statements on its current
expectations and assumptions about future events. While the
Company's management considers these expectations to be reasonable,
they are inherently subject to risks, contingencies and
uncertainties, most of which are difficult to predict and many of
which are beyond the Company's control. These and other important
factors, including "Risk Factors" disclosed in, or incorporated by
reference into, the prospectus from the Company's Annual Report on
Form 10-K for the year ended December 31,
2016 and in the Company's subsequent filings with the SEC,
may cause the Company's actual results to differ materially from
anticipated results expressed or implied by these forward-looking
statements. Investors should not place undue reliance on these
forward-looking statements.
Contact:
American Homes 4 Rent
Investor Relations
Phone: (855) 794-2447
Email: investors@ah4r.com
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SOURCE American Homes 4 Rent