Empire State Building IPO aims to raise $1.15B

REIT to offer shares at between $13 and $15

New York /
Sep.September 20, 2013 12:55 PM

Empire State Realty Trust will plan an initial public offering of the company’s stock at between $13 and $15 per share, officials for the proposed real estate investment trust said. The REIT said in a regulatory filing that it is selling 71.5 million shares and will offer underwriters a chance to buy 10.7 million additional shares to meet excess demand.

The filing came a day after the company that controls the Empire State Building – led by Malkin Holdings — won the necessary investor votes to move forward with the process of taking the iconic tower and 18 other properties public.

At the midpoint price of $14 per share – and assuming the underwriters avail of the additional shares – the REIT would raise gross proceeds of $1.15 billion, Crain’s reported. The company intends to use IPO proceeds to repay debt and cover IPO-related expenses, as well as for working capital and future acquisitions, according to Crain’s.

In anticipation of the IPO, The Real Deal did a detailed analysis earlier this month of the ownership structure and income flow of the Empire State Building. [Crain’s]  – Hiten Samtani


Related Articles

arrow_forward_ios
Residents at Sven in Long Island City will be able to control the light show atop their building, as well as some in Manhattan. (Spireworks)
LIC tower giving residents chance to light up night
LIC tower giving residents chance to light up night
Boston Properties’ Owen Thomas, Vornado Realty Trust’s Steve Roth, Paramount Group’s Albert Behler, SL Green’s Marc Holliday and Empire Real Estate Trust’s Tony Malkin  (iStock, slgreen.com, vno.com, paramount-group.com, esrtreit.com, LinkedIn)
Office landlords profess optimism despite dip in occupancy
Office landlords profess optimism despite dip in occupancy
Empire State Realty Trust CEO Tony Malkin (Getty, iStock)
Empire State Realty’s multifamily play baffles experts, investors
Empire State Realty’s multifamily play baffles experts, investors
With offices in flux, Empire State Realty Trust is pivoting to apartments
With offices in flux, Empire State Realty Trust is pivoting to apartments
With offices in flux, Empire State Realty Trust is pivoting to apartments
iCapital Network CEO Lawrence Calcano and 60 East 42nd Street (iCapital, ESRT)
Fintech firm doubles down at ESRT’s One Grand Central
Fintech firm doubles down at ESRT’s One Grand Central
(iStock)
Real estate stung by “sobering” climate report
Real estate stung by “sobering” climate report
Empire State Realty Trust CEO Tony Malkin (Getty, iStock)
ESRT braces for more pain at Empire State Building
ESRT braces for more pain at Empire State Building
Empire State Realty Trust CEO Anthony Malkin and the Empire State Building (Getty, iStock)
Empire State Building owner endures painful wait for tourists’ return
Empire State Building owner endures painful wait for tourists’ return
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...