San Diego-based Realty Income Corp. said Monday it will offer 5 million additional shares of common stock in conjunction with the company’s inclusion in the S&P 500 index.
The stock is being added to the widely-followed index at the close of trading Monday. Realty Income said it will be one of only 24 real estate investment trusts, or REITs, on the widely followed index.
The company owns 4,300 properties with long-term lease agreements with regional and national retail chains and other commercial tenants. It had annual revenue of nearly $1 billion in 2014.
The new offering is being handled by RBC Capital Markets, BofA Merrill Lynch, J.P. Morgan and Morgan Stanley. The company said it expects to use the net proceeds from the offering to repay borrowings for real estate acquisitions.
