Macerich Prices Upsized $675M Exchangeable Notes Offering
MAC sits 49% above its 52-week low of $16.03 on elevated volume (3.9× avg).
Summary
Macerich priced an upsized $675 million offering of 2.25% exchangeable senior notes due 2031, which closed at $775 million after full exercise of the $100 million option, with net proceeds of $757 million. The initial exchange rate is 35.4761 shares per $1,000 principal, and the capped call cap price is $34.06. This follows a series of common stock offerings in May and June that raised over $800 million combined, part of the company's ongoing deleveraging under its Path Forward Plan. The exchangeable notes add a new layer to the capital structure, potentially dilutive upon conversion but carrying a low coupon. Proceeds are likely earmarked for debt repayment, consistent with prior raises. The offering's size relative to the $6.7 billion market cap is material, and the upsizing suggests strong demand.
Updated with an SEC 8-K filing · What changed
Updates
· SEC 8-K — The offering closed at $775 million after full exercise of the $100 million option, with net proceeds of $757 million. Initial exchange rate is 35.4761 shares per $1,000 principal, and capped call cap price is $34.06.
At the time of this announcement, MAC was trading at $23.90 on NYSE in the Real Estate & Construction sector, with a market capitalization of approximately $6.7B. The 52-week trading range was $16.03 to $26.68. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Reuters.