BEACHWOOD, Ohio, Nov. 19, 2012 /PRNewswire/ -- DDR Corp. (NYSE: DDR) today announced the pricing of $150 million of senior unsecured notes in an underwritten public offering. The offering consists of $150 million of 4.625% notes due 2022 at a price of 109.223% representing a yield to maturity of 3.465%. The notes will have the same terms and be of the same series as the notes that DDR issued on June 22, 2012 and, upon consummation of this offering, DDR will have a total of $450 million of such notes outstanding. Interest on the notes will be paid semi-annually on January 15 and July 15 commencing on January 15, 2013. The offering is expected to close on or about November 27, 2012, subject to customary closing conditions.
The net proceeds to DDR, after subtracting the underwriting discount and estimated offering expenses, are expected to be approximately $162.2 million. DDR intends to use the net proceeds for general corporate purposes, including the potential repayment of debt.
Citigroup Global Markets Inc., Deutsche Bank Securities Inc., RBS Securities Inc., UBS Securities LLC and Wells Fargo Securities, LLC are serving as joint book-running managers; Capital One Southcoast, Inc., PNC Capital Markets LLC, RBC Capital Markets, LLC and U.S. Bancorp Investments, Inc. are serving as senior co-managers; and Evercore Group L.L.C., FTN Financial Securities Corp, Moelis & Company LLC and Scotia Capital (USA) Inc. are serving as co-managers for the offering.
The offering may be made only by means of a prospectus supplement and the accompanying prospectus. A copy of the final prospectus supplement and accompanying prospectus relating to this offering may be obtained, when available, by calling or e-mailing Citigroup Global Markets Inc. toll free at 1-800-831-9146, Deutsche Bank Securities Inc. toll-free at 1-800-503-4611 or prospectus.CPDG@db.com, RBS Securities Inc. toll-free at 1-866-884-2071, UBS Securities LLC toll-free at 1-877-827-6444, ext. 561 3884, or Wells Fargo Securities, LLC toll-free at 1-800-326-5897.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the notes or any other securities, nor will there be any sale of the notes or any other securities in any state or jurisdiction in which such an offer, solicitation or sale is not permitted. A registration statement relating to these securities has been filed with the Securities and Exchange Commission and is effective.
DDR is an owner and manager of 459 value-oriented shopping centers representing 116 million square feet in 39 states, Puerto Rico and Brazil. The company's assets are concentrated in high barrier-to-entry markets with stable populations and high growth potential and its portfolio is actively managed to create long-term shareholder value. DDR is a self-administered and self-managed REIT operating as a fully integrated real estate company, and is publicly traded on the New York Stock Exchange under the ticker symbol DDR.
DDR considers portions of the information in this press release to be forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, both as amended, with respect to the Company's expectation for future periods. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. For this purpose, any statements contained herein that are not historical fact may be deemed to be forward-looking statements. There are a number of important factors that could cause our results to differ materially from those indicated by such forward-looking statements, including, among other factors, local conditions such as oversupply of space or a reduction in demand for real estate in the area; competition from other available space; dependence on rental income from real property; the loss of, significant downsizing of or bankruptcy of a major tenant; constructing properties or expansions that produce a desired yield on investment; our ability to buy or sell assets on commercially reasonable terms; our ability to complete acquisitions or dispositions of assets under contract; our ability to secure equity or debt financing on commercially acceptable terms or at all; our ability to enter into definitive agreements with regard to our financing and joint venture arrangements or our failure to satisfy conditions to the completion of these arrangements; and the success of our capital recycling strategy. For additional factors that could cause the results of the Company to differ materially from those indicated in the forward-looking statements, please refer to the Company's Form 10-K for the year ended December 31, 2011, as amended. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.
SOURCE DDR Corp.