Brandywine Realty Trust (BDN), Tuesday lowered its Funds From Operations forecast for the year 2009 to reflect the share count dilution stemmed from the completion of the offering of common shares. The company also declared a cash dividend.
The company said it now expects funds from operations in the range of $1.60 per share to $1.74 per share, down from the previous guidance ranging from $2.00 per share to $2.17 per share including the effect of impairment charges in both cases.
The company completed the offering of 40,250,000 shares at a public offering price of $6.30 per share, including 5,250,000 shares issued and sold to the underwriters to cover over allotments. Merrill Lynch & Co., J.P.Morgan and Citi acted as the joint book-running managers.
The Brandywine Realty Trust said the net proceeds from the offering totaled nearly $242.5 million and it would use the proceeds to reduce outstanding borrowings under its $600 million unsecured revolving credit facility and for general corporate purposes.
Further, the company also declared a quarterly cash dividend of $0.10 per share, payable on July 17, 2009 to holders of record on July 3, 2009 and the board of trustees also intends to match aggregate 2009 common share dividends to 2009 taxable income and to evaluate the mix of cash and common shares on an ongoing basis.
The Board of Trustees also declared quarterly dividends of $0.46875 and $0.460938 for the 7.50% Series C Cumulative Redeemable Preferred Shares and 7.375% Series D Cumulative Redeemable Preferred Shares, respectively, each payable on July 15, 2009 to holders of record on June 30, 2009 of the Series C and Series D Preferred Shares.
BDN closed Tuesdays trading at $7.15, down $0.26 or 3.51%, on a volume of 6.054 million shares on the NYSE. In the after hours trading, the stock lost $0.02 or 0.24% to trade at $7.1332
For comments and feedback: editorial@rttnews.com