Realty Income Corp. conducted a public offering of 7.5 million shares priced at $34.81 per share. Net proceeds from the offering, after underwriting discounts and estimated offering expenses payable by the company, will be approximately $248.3 million.
The offering was upsized from an original amount of 6 million shares. The firm also granted the underwriters a 30-day option to purchase up to 1.125 million additional shares of common stock to cover overallotments, if any.
The net proceeds from the offering are expected to be used to fund recently announced property acquisitions that are expected to close during the first six months of 2011. Any remaining net proceeds will be used for general corporate purposes and working capital, which may include additional acquisitions.