Omega Announces Launch of Equity Shelf Program
HUNT VALLEY, Md.--(BUSINESS WIRE)-- Omega Healthcare Investors, Inc. (NYSE:OHI) (the "Company") today announced that it has entered into separate equity distribution agreements (the "Agreements") with each of UBS Securities LLC, Deutsche Bank Securities Inc. and Merrill Lynch, Pierce, Fenner & Smith Incorporated, each as sales agents and/or principal (collectively, the "Managers"). Under the terms of the Agreements, the Company may from time to time offer and sell shares of its common stock, having an aggregate gross sales price of up to $100,000,000 through or to the Managers.
Sales of the shares made pursuant to the Agreements, if any, will be made by means of ordinary brokers' transactions on the New York Stock Exchange at market prices or as otherwise agreed with the Managers. Under the terms of the Agreements, the Company may also sell shares to each of the Managers as principal for its own respective account, at a price agreed upon at the time of sale. If the Company sells shares to any of the Managers, as principal, the Company will enter into a separate terms agreement with the applicable Manager, setting forth the terms of such transaction, and the Company will describe the agreement in a separate prospectus supplement or pricing supplement.
The shares will be offered under a prospectus supplement describing the program dated June 12, 2009, which was filed pursuant to an effective shelf registration statement previously filed with the Securities and Exchange Commission ("SEC").
The Company intends to use the net proceeds of the offering for working capital and general corporate purposes.
The Company is not obligated to sell and the Managers are not obligated to buy or sell any shares under the Agreements. No assurance can be given that the Company will sell any shares under the Agreements, or, if it does, as to the price or amount of shares that it sells, or the dates when such sales will take place.
Any offer will be made only by means of a prospectus, including a prospectus supplement, forming a part of the Company's effective shelf registration statement. A copy of the prospectus supplement and prospectus relating to the offering through the equity shelf program may be obtained by contacting either:
UBS Investment Bank Deutsche Bank Securities Merrill Lynch & Co.
Attn: Prospectus Attn: Prospectus Department Attn: Prospectus Department
Department
299 Park Ave 100 Plaza One 4 World Financial Center
New York, NY 10171 Jersey City, New Jersey New York, NY 10080
07311
(888) 827-7275 (800) 503-4611 (212) 449-1000
The Company is a real estate investment trust investing in and providing financing to the long-term care industry. At March 31, 2009, the Company owned or held mortgages on 255 skilled nursing facilities and assisted living facilities with approximately 29,193 licensed beds (27,425 available beds) located in 28 states and operated by 25 third-party healthcare operating companies.
This announcement includes forward-looking statements. Actual results may differ materially from those reflected in such forward-looking statements as a result of a variety of factors, including, among other things: (i) uncertainties relating to the business operations of the operators of the Company's properties, including those relating to reimbursement by third-party payors, regulatory matters and occupancy levels; (ii) regulatory and other changes in the healthcare sector, including without limitation, changes in Medicare reimbursement; (iii) changes in the financial position of the Company's operators; (iv) the ability of operators in bankruptcy to reject unexpired lease obligations, modify the terms of the Company's mortgages, and impede the ability of the Company to collect unpaid rent or interest during the pendency of a bankruptcy proceeding and retain security deposits for the debtor's obligations; (v) the availability and cost of capital; (vi) competition in the financing of healthcare facilities; (vii) the Company's ability to maintain its status as a real estate investment trust; and (viii) other factors identified in the Company's filings with the Securities and Exchange Commission. Statements regarding future events and developments and the Company's future performance, as well as management's expectations, beliefs, plans, estimates or projections relating to the future, are forward-looking statements.
Source: Omega Healthcare Investors, Inc.
Released June 12, 2009