ELS Announces Successful Stock Exchange
Equity LifeStyle Properties Inc. today (Sept. 10) announced that its offer to acquire all of the 8 million outstanding shares of its 8.034 percent Series A Cumulative Redeemable Perpetual Preferred Stock has expired.
Based on preliminary results provided by the depositary for the offer, the number of Series A Shares accepted for purchase is approximately 5.4 million, representing approximately 68 percent of the outstanding shares, according to an ELS news release.
Pursuant to the terms of the offer, the consideration payable for each validly tendered Series A Share consists of one newly issued depositary share representing 1/100th of a share of the company's newly created 6.75 percent Series C Cumulative Redeemable Perpetual Preferred Stock, with a liquidation value equal to $25 per share, plus cash in an amount equal to the amount of all unpaid dividends accrued on tendered shares through and including the expiration of the offer (estimated to be approximately $0.3849625 per share).
The company intends to arrange for delivery of the offer consideration as soon as practicable.
ELS President and CFO Marguerite Nader commented, "I am very pleased with the results of this exchange offer. The exchange offer resulted in an attractive yield on our new issue of preferred stock with significantly lower transaction costs, while at the same time benefiting both our existing preferred and common shareholders. It is a win-win for the company."
Equity LifeStyle Properties Inc. is a fully integrated owner and operator of lifestyle-oriented properties and owns or has an interest in 382 quality properties in 32 states and British Columbia consisting of 141,077 sites. The company is a self-administered, self-managed, real estate investment trust (REIT) with headquarters in Chicago.