JACKSON, Miss., Jan. 6 /PRNewswire-FirstCall/ -- EastGroup Properties, Inc. (NYSE: EGP) today announced that, in December, it completed the sale of 1.6 million common shares in its continuous equity program generating net proceeds of $57.5 million. The program, with BNY Mellon Capital Markets, LLC, was announced on May 19, 2009, and, as of September 30, 2009, the Company had issued 882,980 shares at an average price of $34.76 per share. During the fourth quarter, the Company issued an additional 717,020 shares at an average price of $38.59 per share. EastGroup had 26.8 million shares outstanding as of December 31, 2009.
David H. Hoster II, President and Chief Executive Officer, said, "We are pleased with the successful results of the continuous equity program. We sold shares at prices exceeding our original expectations and with a fee structure of 1%. This additional capital strengthens an already solid balance sheet and positions EastGroup for growth through attractive acquisitions."
Certain statements in this release are forward-looking and as such are based upon the Company's current belief as to the outcome and timing of future events. There can be no assurance that future developments affecting the Company will be those anticipated by the Company. These forward-looking statements involve risks and uncertainties (some of which are beyond the control of the Company) and are subject to change based upon various factors, including but not limited to the following risks and uncertainties: changes in the real estate industry and in performance of the financial markets; the demand for and market acceptance of the Company's properties for rental purposes; the amount and growth of the Company's expenses; tenant financial difficulties; and general economic conditions, including interest rates, as well as economic conditions in those areas where the Company owns properties, the risks associated with the development of real property, and other risks and uncertainties detailed from time to time in the Company's SEC filings. Should one or more of these risks or uncertainties occur, or should underlying assumptions prove incorrect, the Company's results could differ materially from those expressed in the forward-looking statements.
EastGroup Properties, Inc. is a self-administered equity real estate investment trust focused on the acquisition, development and operation of industrial properties in major Sunbelt markets throughout the United States with an emphasis in the states of Florida, Texas, Arizona and California. Its strategy for growth is based on its property portfolio orientation toward premier business distribution facilities clustered near major transportation features. EastGroup's portfolio currently includes 27.6 million square feet.
EastGroup Properties, Inc. press releases are available at www.eastgroup.net.
SOURCE EastGroup Properties, Inc.