Reported Earlier, AvalonBay Communities Prices $710.4M Public Offering Of 3.2M Common Shares
Portfolio Pulse from Benzinga Newsdesk
AvalonBay Communities has priced a $710.4 million public offering of 3.2 million common shares. The company has entered into forward sale agreements with major financial institutions for these shares.
September 06, 2024 | 7:15 am
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AvalonBay Communities has announced a public offering of 3.2 million common shares valued at $710.4 million. The company has entered into forward sale agreements with Goldman Sachs, Bank of America, Deutsche Bank, and Morgan Stanley.
The issuance of new shares typically leads to a dilution of existing shares, which can put downward pressure on the stock price in the short term. The involvement of major financial institutions in the forward sale agreements indicates strong backing, but the immediate impact is likely negative due to dilution concerns.
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