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RLJ Lodging Upsizes Share Sale to 8 Mln Shares Shares Fall as Offering Prices

RLJ Lodging Upsizes Share Sale to 8 Mln Shares Shares Fall as Offering Prices

RLJ Lodging (RLJ) shares declined Thursday, after the real estate investment trust increased the size of its planned share sale to 8 million shares from 7.5 million shares, and priced it at $26.45 each, a 2.5% discount to Wednesday's close. Net proceeds of the offering are expected to reach approximately $202.3 million. The company also granted the underwriters of the offering a 30-day option to purchase up to an additional 1.2 million common shares. It is expected to close on or about May 28. RLJ was down 1.6% recently at $26.72, in the upper half of its 52-week range between $20.53 and $27.66. The said it plans to use net proceeds for potential acquisitions and general corporate purposes, and may also use them to repay amounts outstanding under its unsecured revolving credit facility.

RLJ Lodging Upsizes Share Sale to 8 Mln Shares Shares Fall as Offering Prices