Sun Communities Closes on 4.6M Share Stock Offering
Sun Communities Inc. announced Tuesday (Jan. 17) that it has closed its previously announced underwritten registered public offering of 4,600,000 shares of common stock at a price of $35.50 per share.
The sale includes 600,000 shares sold to the underwriters pursuant to the full exercise of their option to purchase additional shares. The company estimates that the net proceeds from the offering will be approximately $155.5 million after deducting the underwriting discounts and expenses related to the offering, according to a news release.
Sun Communities, a real estate investment trust based in Southfield, Mich., intends to use the net proceeds of the offering to fund a portion of the purchase price of three recreational vehicle communities located in Florida that it agreed to acquire, as previously disclosed, and to repay outstanding debt. The company expects to use any remaining net proceeds of the offering to fund possible future acquisitions of properties and for working capital and general corporate purposes.
Sun Communities currently owns and operates a portfolio of 159 communities comprising approximately 54,800 developed sites.