NEWTON, Mass.--(BUSINESS WIRE)--
Government Properties Income Trust (Nasdaq: GOV) today announced that it
has priced an underwritten public offering of $300 million of 4.000%
senior unsecured notes due July 15, 2022 (“Notes”). GOV expects to use
the net proceeds from this offering to finance, in part, its previously
announced acquisition of First Potomac Realty Trust, or FPO. Pending the
consummation of the FPO acquisition and the use of proceeds described in
the prior sentence GOV may repay future amounts outstanding under its
revolving credit facility or invest the net proceeds from this offering
in short term investments consistent with GOV’s intention to maintain
its qualification for taxation as a real estate investment trust, or
REIT. The closing of this offering is expected to occur on July 20,
2017, subject to customary closing conditions.
The joint book-running managers for the offering were Citigroup, BofA
Merrill Lynch, Morgan Stanley, UBS Investment Bank, BBVA, Mizuho
Securities, PNC Capital Markets LLC, RBC Capital Markets and Regions
Securities LLC. The joint lead managers for the offering were BB&T
Capital Markets, Fifth Third Securities, FTN Financial Securities Corp,
Ramirez & Co., Inc., SMBC Nikko and US Bancorp.
This press release shall not constitute an offer to sell or a
solicitation of an offer to buy, nor shall there be any sale of these
securities in any state or jurisdiction in which the offer, solicitation
or sale would be unlawful prior to registration or qualification under
the securities laws of such state or jurisdiction. Copies of the
prospectus supplement relating to this offering and the related
prospectus may be obtained by contacting the offices of: Citigroup,
c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood,
NY 11717, or by calling (800) 831-9146; BofA Merrill Lynch,
NC1-004-03-43, 200 North College Street, 3rd floor, Charlotte
NC 28255-0001, Attn: Prospectus Department, email: dg.prospectus_requests@baml.com;
Morgan Stanley, Attn: Prospectus Department, 180 Varick Street, 2nd
Floor, New York, NY 10014, telephone: (866) 718-1649; or UBS Investment
Bank, Attn: Prospectus Department, 1285 Avenue of the Americas, New
York, NY 10019, telephone: (888) 827-7275.
Government Properties Income Trust is a real estate investment trust, or
REIT, which owns properties leased primarily to the U.S. Government and
state governments located throughout the United States. GOV is managed
by the operating subsidiary of The RMR Group Inc. (Nasdaq: RMR), an
alternative asset management company that is headquartered in Newton, MA.
WARNING REGARDING FORWARD LOOKING STATEMENTS
THIS PRESS RELEASE CONTAINS FORWARD LOOKING STATEMENTS WITHIN THE
MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND
OTHER SECURITIES LAWS. THESE FORWARD LOOKING STATEMENTS ARE BASED UPON
GOV'S PRESENT BELIEFS AND EXPECTATIONS, BUT THESE STATEMENTS AND THE
IMPLICATIONS OF THESE STATEMENTS ARE NOT GUARANTEED TO OCCUR AND MAY NOT
OCCUR FOR VARIOUS REASONS, SOME OF WHICH ARE BEYOND GOV’S CONTROL. FOR
EXAMPLE:
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THIS PRESS RELEASE STATES THAT THE CLOSING OF THE NOTES OFFERING IS
EXPECTED TO OCCUR ON JULY 20, 2017. THE CLOSING OF THIS OFFERING IS
SUBJECT TO VARIOUS CONDITIONS AND CONTINGENCIES AS ARE CUSTOMARY IN
UNDERWRITING AGREEMENTS IN THE UNITED STATES. IF THESE CONDITIONS ARE
NOT SATISFIED OR THE SPECIFIED CONTINGENCIES DO NOT OCCUR, THIS
OFFERING MAY NOT CLOSE.
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GOV’S CURRENT INTENT TO USE THE NET PROCEEDS FROM THIS OFFERING TO
FINANCE, IN PART, THE ACQUISITION OF FPO IS DEPENDENT ON THE CLOSING
OF THIS OFFERING AND MAY NOT OCCUR.
FOR THESE REASONS, AMONG OTHERS, INVESTORS ARE CAUTIONED NOT TO PLACE
UNDUE RELIANCE UPON FORWARD LOOKING STATEMENTS.
A Maryland Real Estate Investment Trust with transferable shares of
beneficial interest listed on the Nasdaq.
No shareholder,
Trustee or officer is personally liable for any act or obligation of the
Trust.
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Source: Government Properties Income Trust