AUSTIN, Texas--(BUSINESS WIRE)--
Summit Hotel Properties, Inc. (NYSE: INN) (the “Company”) today
announced the pricing of its public offering of 15,000,000 shares of its
common stock, par value $0.01 per share, at a public offering price of
$9.20 per share, for total net proceeds of approximately $132.3 million,
after deducting the underwriting discount and other estimated offering
expenses payable by the Company.
The underwriters have a 30-day option to purchase up to an additional
2,250,000 shares of common stock. Subject to customary closing
conditions, the offering is expected to close on or about September 18,
2013.
The Company will contribute the net proceeds of the offering to Summit
Hotel OP, LP, its operating partnership (the “Operating Partnership”),
which will use the net proceeds to reduce the outstanding balances under
the Company’s $150 million senior secured revolving credit facility as
well as the Company’s $92 million senior secured interim loan. Any
remaining proceeds will be used for general corporate purposes,
including repayment of debt and acquisitions of additional hotel
properties.
BofA Merrill Lynch, Deutsche Bank Securities, Baird, Raymond James and
RBC Capital Markets are acting as book-running managers for the
offering. KeyBanc Capital Markets and MLV & Co are acting as co-managers.
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, or any
solicitation of an offer to buy, these securities in any state or
jurisdiction in which such offer, solicitation or sale would be unlawful
prior to registration or qualification under the securities laws of any
such state or jurisdiction. The offering is being made solely by means
of the prospectus, including a preliminary prospectus supplement,
forming part of the effective shelf registration statement.
Copies of the prospectus supplement and base prospectus relating to the
offering will be filed with the Securities and Exchange Commission and,
when available, can be obtained by contacting: BofA Merrill Lynch,
Attention: Prospectus Department, 222 Broadway, New York, NY 10038,
Email: dg.prospectus_requests@baml.com;
Deutsche Bank Securities Inc., Attention: Prospectus Group, 60 Wall
Street, New York, NY 10005, E-mail: prospectus.cpdg@db.com;
Robert W. Baird & Co. Incorporated, Attention: Syndicate Department, 777
E. Wisconsin Avenue, Milwaukee, WI 53202, E-mail: syndicate@rwbaird.com;
Raymond James & Associates, Inc., Attention: Prospectus Department, 880
Carillon Parkway, St. Petersburg, Florida 33716, E-mail prospectus@raymondjames.com;
RBC Capital Markets, LLC, Attention: Prospectus Department, Three World
Financial Center, 200 Vesey Street, 8th floor, New York, New York
10281-8098, Telephone: (877) 822-4089.
About Summit Hotel Properties
Summit Hotel Properties, Inc. is a publicly traded real estate
investment trust focused primarily on acquiring and owning
premium-branded select-service hotels in the upscale and upper midscale
segments of the lodging industry. As of September 13, 2013, the
Company’s portfolio consisted of 93 hotels with a total of 10,976
guestrooms located in 24 states.
Forward Looking Statements
This press release contains statements that are “forward-looking
statements” within the meaning of the Private Securities Litigation
Reform Act of 1995 and other federal securities laws. These
forward-looking statements are based upon the Company’s expectations,
but these statements are not guaranteed to occur. Investors should not
place undue reliance upon forward-looking statements. These statements
relate to the Company’s common stock offering and the anticipated use of
the net proceeds. No assurance can be given that the common stock
offering discussed above will be completed on the terms described, or at
all, or that the net proceeds of the offering will be used as indicated.
Completion of the common stock offering on the terms described, and the
application of net proceeds, are subject to numerous conditions, many of
which are beyond the control of the Company, including, without
limitation, general economic conditions, market conditions and other
factors, including those set forth in the Risk Factors section of the
Company’s periodic reports and other documents filed with the Securities
and Exchange Commission (the “SEC”). Copies are available on the SEC’s
website, www.sec.gov.
The Company undertakes no obligation to update these statements after
the date of this release.
Summit Hotel Properties, Inc.
Stuart J. Becker, 512-538-2300
Chief
Financial Officer
Source: Summit Hotel Properties, Inc.