Independence Realty Trust (IRT) Prices 25M Common Stock Offering for Proceeds of $225M

September 30, 2016 6:16 AM EDT

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Independence Realty Trust, Inc. (NYSE: IRT) announced the pricing of its public offering of 25,000,000 shares of common stock at a public offering price of $9.00 per share for total gross proceeds of $225.0 million. The offering is expected to close on October 5, 2016, subject to the satisfaction of customary closing conditions. The Company has granted the underwriters a 30-day option to purchase up to 3,750,000 additional shares of common stock at the public offering price, less underwriting discounts and commissions.

Citigroup is acting as the sole book-running manager of the offering. KeyBanc Capital Markets, Deutsche Bank Securities, and BofA Merrill Lynch are acting as joint lead managers of the offering. Capital One Securities, FBR, Ladenburg Thalmann, William Blair, Compass Point, Huntington Investment Company, Wunderlich, Ramirez & Co., Inc. and Comerica Securities are acting as co-managers of the offering.

The Company intends to use the net proceeds from the offering to (i) repay in full the Company’s $40.0 million senior secured term loan facility, (ii) pay $43.0 million for the previously-announced internalization of the Company’s management, as described in the prospectus supplement referenced below, and (iii) repurchase up to 7,269,719 shares of the Company’s common stock held by subsidiaries of RAIT Financial Trust. Any remaining proceeds will be used to repay outstanding borrowings under the Company’s $325.0 million senior secured credit facility.

A registration statement relating to the offered securities has been declared effective by the Securities and Exchange Commission. The offering is being made only by means of a prospectus supplement and an accompanying prospectus. Copies of the prospectus and the prospectus supplement relating to the offering, when available, may be obtained by contacting Citigroup, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 (Tel: 800-831-9146).

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