Macerich Co. (MAC) has announced the pricing details of its public offering, comprising 20 million shares of common stock at a rate of $19.75 per share. This offering is set to raise approximately $395 million in gross proceeds, marking an increase from the initially proposed 18 million shares. The company has extended the underwriters a 30-day option to purchase an additional 3 million shares. The transaction is anticipated to conclude on November 27, 2024.
Macerich intends to allocate the net proceeds from this offering, in conjunction with available cash reserves, towards repaying a $478.0 million mortgage loan secured by its Washington Square property, which carries a fixed effective interest rate of around 9.0%. Until the funds are needed for this purpose, they may be temporarily invested in short-term, interest-bearing accounts.
Goldman Sachs & Co. LLC is acting as the lead bookrunner and representative of the underwriters for this offering. The syndicate also includes J.P. Morgan, Deutsche Bank Securities, BMO Capital Markets, and TD Securities, all serving as joint bookrunning managers.
