Boston, MA 06/02/2014 (wallstreetpr) – Strategic Hotels and Resorts Inc (NYSE:BEE), the (REIT) real estate investment trust, owns as well as offers value exchange asset management of resorts and high end hotels in Europe and the U.S.
The company on May 30, 2014, reported to close $120 million of loan secured by the Loews Santa Monica Beach Hotel.
Strategic Hotels & Resorts Closed $120 Million Loan:
Strategic Hotels and Resorts Inc (NYSE:BEE) has closed a seven year loan of $120 million secured by Loews Santa Monica Beach Hotel. The announcement at the end of May replaces $108 million of the financing burden from the company. Under the conditions of the agreement, the loan amount bears interest (at floating rate) of LIBOR plus 255 basis points.
Company Announced Public Offering Of 36,000,000 Shares Of Common Stock:
On May 28, 2014 the company announced that it guarantees a public offering of approximately 36,000,000 shares of the company’s common stock. The offering has been set at $10.50 per share. The company also said that it has granted a 30-days option to own nearly 5,400,000 supplementary shares of common stocks in order to cover up the allotments. Strategic expects to gain a net profit from the underwriters of nearly $362.4 million.
Raymond James is taking the lead manager position, whereas Deutsche bank, J.P. Morgan, BofA Merrill Lynch and Wells Fargo will jointly act as book running managers. In this offering, Capital One Securities, JMP Securities, BMO Capital Markets, Evercore, and MLV & Co. will act as the co-managers. The offering will probably close on June 2, 2014. However, Strategic aims to use the net profit of the offering for funding the acquisition of almost 63% ownership in the Hotel Del Coronado.
Strategic Hotels and Resorts Inc (NYSE:BEE) will issue each and every share of the common stock under the effective shelf registration statement. The statement will be filed with SEC (Security and Exchange Commission).