VICI Properties (NYSE:VICI) proclaimed today it’s marketing upwardly to 18.97 meg shares of its usual equity through and through frontward purchase agreements, substance the existent acres investiture bank (REIT) won’t initially have cash proceeds.
The largest gaming REIT said it’s merchandising 16.5 1000000 shares via forwards purchase accords, adding that underwriters get a 30-day window inward which they canful purchase another 2.475 one thousand thousand shares.
The underwriters may offering the shares of plebeian stock from time to clip for sales agreement in 1 or more transactions on the NYSE, inward the over-the-counter market, through negotiated transactions or otherwise at market place prices predominant at the time of sale, at prices related to to prevalent market place prices or at negotiated prices,” according to a financial statement issued past the Caesars Palace owner.
Share sales are dilutive to current investors and as a result, VICI is depress past 2.16%, at this writing, during Thursday’s after-hours session. Bank of America Securities and Citigroup are serving as underwriters for the transaction.
More VICI Acquisitions
As noted above, VICI isn’t straight off receiving hard cash from the deal sale. Rather, it will get under one's skin capital letter from the time to come closure of the aforementioned forrad purchase pacts. However, the companion noted it’s possible some of the proceeds could eventually follow used for acquisitions.
“The Company expects to use any hard currency proceeds that it receives upon the time to come settlement of the frontward sales agreement agreements inwards connexion with or inwards furtherance of the on-going business and operations of the Company, including funding the Company’s pipeline for the acquisition, developing and improvement of properties,” according to the statement.
VICI is I of the most acquisitive companies in the existent landed estate sector. By way of life of acquisitions, VICI is the largest landlord on the Las Vegas Strip, owning the attribute assets of the Venetian, and the Venetian Expo and Convention Center, Excalibur, Luxor, Mandalay Bay, MGM Grand, Mirage, New House of York New York, and Mungo Park MGM.
VICI also owns the existent landed estate of a slew of regional casinos and is the largest proprietor of hotel and conference existent demesne inward the US.
VICI Acquisition Speculation
For now, it’s venture that VICI testament utilize the great it in the end receives from the portion out sales to monetary fund purchases, but granted the company’s history, it’s non a stretch out to take on that’s a possibility.
Interestingly, the REIT announced the deal sales event just years after Apollo Global Management (NYSE: APO) — VICI’s renter at the Venetian — said it’s undecided to getting to a greater extent casino assets.
Should the existent demesne fellowship pursue more deals, it’s possible it will consider gaming properties out of doors of Las Vegas as good as adding to its portfolio of non-gaming venues.