Phillips Edison & Company, a REIT focused on grocery-anchored neighborhood shopping centers, announced terms for its IPO on Wednesday.
The Cincinnati, OH-based company plans to raise $502 million by offering 17.0 million shares at a price range of $28 to $31. At the midpoint of the proposed range, Phillips Edison would command a fully diluted market value of $3.7 billion. The REIT plans to pay an annualized dividend yield of 3.5%.
Phillips Edison states that it is one of the nation's largest owners and operators of omni-channel grocery-anchored neighborhood shopping centers. Its portfolio primarily consists of neighborhood centers anchored by the #1 or #2 grocer tenants by sales within their respective formats by trade area. As of March 31, 2021, Phillips Edison owned equity interests in 300 shopping centers and 22 shopping center properties owned through two unconsolidated third-party institutional joint ventures, and its portfolio was nearly 95% occupied.
Phillips Edison & Company was founded in 1991 and booked $497 million in revenue for the 12 months ended March 31, 2021. It plans to list on the Nasdaq under the symbol PECO. Morgan Stanley, BofA Securities, J.P. Morgan, BMO Capital Markets, Goldman Sachs, KeyBanc Capital Markets, Mizuho Securities, and Wells Fargo Securities are the joint bookrunners on the deal. It is expected to price during the week of July 12, 2021.
