IIPR Prices $50M Preferred Offering at 9.25% Yield
IIPR sits 16% above its 52-week low of $44.58.
Summary
IIPR priced its Series B preferred offering: 2 million shares at $25.00 each for $50 million gross proceeds, with a 9.25% coupon. Underwriters have a 30-day option for 300,000 more shares. The deal is expected to close October 19, 2026. Proceeds will fund the remaining unfunded commitment on the IQHQ mezzanine loan, any remaining net proceeds will fund investments and general corporate purposes. The company plans to file an application to list the Series B preferred stock on NYSE under the symbol 'IIPR Pr B'. This follows the October 7 announcement that commenced the offering; today's pricing removes uncertainty on terms. The 9.25% yield is high, reflecting the company's elevated cost of capital amid tenant defaults and higher-cost debt noted in recent filings.
Updates
· SEC 424B5 — The 424B5 prospectus supplement finalizes the offering terms: 2,000,000 shares at $25.00 each, 9.25% dividend rate, $0.7875 underwriting discount, and expected delivery on October 19, 2026.
At the time of this announcement, IIPR was trading at $51.92 on NYSE in the Real Estate & Construction sector, with a market capitalization of approximately $1.4B. The 52-week trading range was $44.58 to $65.38. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: BusinessWire.