Apr 13 2010
Medical Properties Trust, Inc. (the "Company") (NYSE: MPW) announced today that it plans to make a public offering of 24 million shares of its common stock (the "Offering"). The Company expects to grant the underwriters an option to purchase up to 3.6 million additional shares of common stock to cover over-allotments, if any. J.P. Morgan Securities Inc., Deutsche Bank Securities, KeyBanc Capital Markets, and RBC Capital Markets will act as bookrunners for the offering, with Morgan Keegan, SunTrust Robinson Humphrey, and UBS Investment Bank acting as joint-lead managers and JMP Securities and Stifel Nicolaus acting as co-managers.
The Company also announced today that it has begun to secure commitments from a syndicate of lenders for a new credit facility of up to $450 million, including a $300 million revolving credit facility and a $150 million term loan (the "New Credit Facility"). As of April 12, 2010, the Company has received written commitments totaling $230 million from five lenders for the revolving credit facility.
The Company intends to use the net proceeds from the Offering to fund its concurrent tender offer for any and all of the outstanding 6.125% exchangeable senior notes due 2011 of the Company's operating partnership, MPT Operating Partnership, L.P. (the "2011 exchangeable notes"), which was also announced today. The tender offer is conditioned on the consummation of the Offering among other conditions.
The Company intends to use any remaining net proceeds from the Offering, together with borrowings under the New Credit Facility, for general corporate purposes, including the repayment of other indebtedness and funding future acquisitions and investments.
Source:
Medical Properties Trust, Inc.