In a bid to increase its liquidity, real estate investment trust
Kennedy Wilson Holdings, Inc (
recently announced that it has priced 7.5 million shares at $13.00
a share. To cover the over-allotment options, Kennedy Wilson also
plans to offer a 30-day option to the underwriters for purchasing
an additional 1,125,000 shares.The offering is expected to close on
July 24, 2012.
The company expects to generate net proceeds of approximately
$92.4 million from the offering after the underwriting discount and
estimated offering expenses. The net proceeds from the equity offer
will be used to repay debt outstanding under its unsecured
revolving credit facility, to fund property acquisitions and for
general corporate purposes.
Kennedy Wilson reported first quarter 2012 net loss of $3.4
million or 7 cents per share compared to a net loss of $1.0 million
or 2 cents per share in the year-ago quarter. As of March 31, 2012,
the company's cash position stood at $122.3 million versus $115.9
million in the prior quarter.
Headquartered in Beverly Hills, California, Kennedy Wilson
offers a widearray of real estate services including auction,
conventional sales, property services, and research and investment
management with 23 offices in the U.S., Europe and Japan. The
company continues to witness opportunities to grow its cash flow
through reinvestment of the return of capital and gains realized
Kennedy Wilson currently retains a Zacks #3 Rank, which
translates into a short-term Hold rating. We have a long-term
Neutral recommendation on the stock. One of its competitors,
CBRE Group, Inc
) also holds a Zacks #3 Rank.
CBRE GROUP INC (CBG): Free Stock Analysis
KENNEDY-WILSON (KW): Free Stock Analysis Report
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