American Homes 4 Rent Announces Pricing of 5% Series A Participating Preferred
AGOURA HILLS, Calif., Oct. 18, 2013
AGOURA HILLS, Calif., Oct. 18, 2013 /PRNewswire/ -- American Homes 4 Rent
(NYSE: AMH) (the "Company") today announced the pricing of its underwritten
public offering of 4,400,000 of its 5% Series A Participating Preferred Shares
for gross proceeds of approximately $110 million, before deducting
underwriting discounts and estimated offering expenses. The Series A
Participating Preferred Shares have an initial liquidation preference of $25
per share that may be increased by an additional amount based on home price
appreciation in the Company's top 20 markets as determined by the Federal
Housing Finance Agency's House Price Index, subject to certain limitations and
conditions, as described in the prospectus for the securities. The
offering is expected to close on October 25, 2013, subject to customary
closing conditions. The Company has granted the underwriters a 30-day option
to purchase up to an additional 660,000 Series A Participating Preferred
Shares at the public offering price, less underwriting discounts and
commissions. The Company intends to apply to list the Series A Participating
Preferred Shares on the New York Stock Exchange under the symbol "AMHPRA."
The Company intends to use the net proceeds of the offering to continue to
acquire and renovate single-family properties, to repay borrowings under its
credit facility and for general business purposes.
Raymond James and Jefferies are the 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 has been filed with the
Securities and Exchange Commission and became effective on October 18, 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 will be filed with the Securities and
Exchange Commission and may be obtained, when available, from Raymond James &
Associates, Inc., 880 Carillon Parkway, St. Petersburg, Florida 33716, or by
calling toll-free at 1-800-248-8863, or by emailing
firstname.lastname@example.org; or from Jefferies LLC, Attention: Debt Syndicate
Prospectus Department, 520 Madison Avenue, 12th floor, New York, NY 10022, or
by calling toll-free at 1-877-547-6340 or by emailing
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, the timing of the closing of the offering and the Company's 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
 Top 20 markets used to determine percentage weightings have been
determined by current AMH holdings as of July 31, 2013. The Federal Housing
Finance Agency's Quarterly Purchase-only House Price Index is a weighted,
repeat-sales index, meaning that it measures average price changes in repeat
sales of the same single-family properties, and is obtained by reviewing
repeat transactions involving conforming, conventional mortgages purchased or
securitized by Fannie Mae or Freddie Mac since January 1975.
Contact: Peter J. Nelson
American Homes 4 Rent
Tel: (310) 774-5394
SOURCE American Homes 4 Rent
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