Service Properties Trust completes $542.3 million stock offering

Service Properties Trust (NASDAQ: SVC) completed an underwritten public offering of 479.2 million common shares at $1.20 per share, generating net proceeds of approximately $542.3 million after underwriting discounts and expenses, according to a company statement.

The offering included 62.5 million additional shares issued when underwriters exercised their option in full. Yorkville Securities served as lead bookrunner, with Jones as bookrunning manager and B. Riley Securities, Oppenheimer & Co., Ladenburg Thalmann and Siebert as co-managers.

The real estate investment trust announced it will use the proceeds along with cash on hand to redeem $550 million in senior notes early. The company plans to redeem $100 million of 4.95% senior notes due 2027 on May 2, 2026, and $450 million of 5.50% senior notes due 2027 on April 17, 2026. Both redemptions will be at principal amount plus accrued interest and applicable make-whole premiums.

Service Properties Trust owns 760 service-focused retail properties totaling over 13.6 million square feet and 94 hotels with more than 21,000 guest rooms across the United States, Puerto Rico and Canada as of December 31, 2025. The company is managed by The RMR Group (NASDAQ: RMR).

The offering was conducted under the company's existing shelf registration statement filed with the Securities and Exchange Commission.

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