Macerich reveals major stock offering amid financial strategy
- Macerich announced a public offering of 20 million shares at $19.75 each, resulting in expected gross proceeds of approximately $395.0 million.
- This offering is an increase from the initially proposed offering of 18 million shares, highlighting the company's financial strategy.
- The net proceeds will primarily be used to pay off a significant mortgage loan, reflecting the company's efforts to manage its debts effectively.
On November 25, 2024, in Santa Monica, California, the Macerich Company announced the pricing of an underwritten public offering. The offering includes 20,000,000 shares of common stock priced at $19.75 each, which will generate approximately $395.0 million in gross proceeds. This offering reflects an increase from a previously announced offering of 18,000,000 shares. The expected closing date for the offering is November 27, 2024, subject to customary conditions. The net proceeds are intended to be used primarily to repay a $478.0 million mortgage loan on the Washington Square property, which has a fixed effective interest rate of about 9.0%. The company also stated it may temporarily invest the net proceeds in short-term, interest-bearing accounts before allocation towards the mortgage repayment.