American Homes 4 Rent Announces Pricing of Initial Public Offering
AGOURA HILLS, Calif., July 31, 2013
AGOURA HILLS, Calif., July 31, 2013 /PRNewswire/ -- American Homes 4 Rent (the
"Company," "we," or "our") today announced it has priced its initial public
offering of 44,117,647 Class A common shares of beneficial interest, $0.01 par
value per share, at $16.00 per Class A common share, for total gross proceeds
of approximately $705.9 million.
The shares are expected to begin trading on the New York Stock Exchange on
August 1, 2013 under the symbol "AMH." The offering is expected to close on
August 6, 2013, subject to satisfaction of customary closing conditions. The
Company has granted the underwriters a 30-day option to purchase up to an
additional 6,617,647 Class A common shares at the initial public offering
price, less underwriting discounts and commissions. All of the shares are
being offered by the Company.
Concurrently with the closing of the offering, American Homes 4 Rent, LLC, a
company formed by our founder and board chairman B. Wayne Hughes, will
purchase $50 million of our Class A common shares and the Alaska Permanent
Fund Corporation will purchase $25 million of our Class A common shares in
private placements at the initial public offering price, without payment by
the Company of any underwriting discounts or placement fees. These concurrent
private placements also are expected to close on August 6, 2013 and are
contingent upon completion of the offering.
The Company expects to receive total net proceeds from the initial public
offering and the concurrent private placements of approximately $743.9
million, after deducting underwriting discounts, commissions and estimated
offering expenses, prior to any exercise of the underwriters' option to
purchase additional shares. The Company will contribute the net proceeds of
the offering and the concurrent private placements to its operating
partnership. The operating partnership intends to use the net proceeds to
repay borrowings under its credit facility, to continue to acquire and
renovate single-family properties and for general business purposes.
Goldman, Sachs & Co., BofA Merrill Lynch, FBR, J.P. Morgan, Wells Fargo
Securities, Citigroup, Credit Suisse, Jefferies, Morgan Stanley and Raymond
James are acting as joint book-running managers for the offering. Hogan
Lovells US LLP is serving as legal counsel for the Company. Latham & Watkins
LLP is serving as legal counsel to the underwriters.
A registration statement relating to these securities was declared effective
by the Securities and Exchange Commission on July 31, 2013. This press release
shall not constitute an offer to sell or the solicitation of an offer to buy,
nor shall there be any sale of these securities in any state or jurisdiction
in which such an offer, solicitation or sale would be unlawful before
registration or qualification thereof under the securities laws of any such
state or jurisdiction.
The offering is being made only by means of a prospectus. Copies of the final
prospectus relating to the offering can be obtained, when available, from
Goldman, Sachs & Co., Attention: Prospectus Department, 200 West Street, New
York, New York 10282, telephone: 1-866-471-2526 or e-mail:
firstname.lastname@example.org; BofA Merrill Lynch at 222 Broadway, New York,
New York 10038, Attention: Prospectus Department, or e-mail:
email@example.com; FBR Capital Markets & Co., Attention:
Syndicate Prospectus Department, 1001 Nineteenth Street North, Arlington,
Virginia 22209, telephone: 1-703-312-9500 or e-mail: firstname.lastname@example.org;
J.P. Morgan Securities LLC, Attention: Broadridge Financial Solutions, 1155
Long Island Avenue, Edgewood, New York 11717, telephone: 1-866-803-9204; or
Wells Fargo Securities, Attention: Equity Syndicate Dept., 375 Park Avenue,
New York, New York 10152, telephone: 1-800-326-5897 or e-mail:
This press release contains "forward-looking statements." These forward
-looking statements relate to beliefs, expectations or intentions and similar
statements concerning matters that are not of historical fact and are
generally accompanied by words such as "estimate," "project," "predict,"
"believe," "expect," "anticipate," "intend," "anticipate," "potential,"
"plan," "goal" or other words that convey the uncertainty of future events or
outcomes. These forward-looking statements may include, but are not limited
to, expectations concerning the commencement of trading of the Company's Class
A common shares on the New York Stock Exchange, the Company's ability to
complete the offering and the concurrent private placements, the timing of the
closing and the intended use of the net proceeds. The Company has based these
forward-looking statements on its current expectations and assumptions about
future events. While the Company's management considers these expectations to
be reasonable, they are inherently subject to risks, contingencies and
uncertainties, most of which are difficult to predict and many of which are
beyond the Company's control. Investors should not place undue reliance on
these forward-looking statements.
Contact: Peter J. Nelson, American Homes 4 Rent
Tel: (310) 774-5394
SOURCE American Homes 4 Rent
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