Seaport Entertainment Group Announces Preliminary Results of Rights Offering
11 Octubre 2024 - 6:30AM
Business Wire
Seaport Entertainment Group Inc. (NYSE American: SEG) (the
“Seaport Entertainment Group,” “SEG” or “Company”) announced today
the preliminary results of its previously announced $175.0 million
rights offering (the “Rights Offering”), which expired at 5:00 PM,
New York City time, on October 10, 2024 (the “Expiration
Date”).
According to Computershare Trust Company, N.A. (the
“Subscription Agent”), as of the Expiration Date, 4,651,166 basic
subscription rights were exercised to purchase an aggregate of
5,895,299 shares of the Company’s common stock, par value $0.01
(“Common Stock”), and 6,847,032 additional shares of Common Stock
were subscribed for under the over-subscription privilege, subject
to proration.
The Rights Offering was over-subscribed. Pursuant to the terms
of the Rights Offering, subscription rights holders who exercised
their over-subscription privilege will receive the available shares
of Common Stock pro rata based on the number of shares of Common
Stock each holder subscribed for under the basic subscription
right. Excess amounts for any over-subscribed or remaining
fractional shares of Common Stock will be refunded to applicable
subscription rights holders as soon as practicable via check
without interest or deduction.
The Rights Offering was backstopped by investment funds advised
by Pershing Square Capital Management, L.P. (“Pershing Square”).
Pursuant to the backstop agreement between Pershing Square and the
Company (the “Backstop Agreement”), Pershing Square fully exercised
its pro rata subscription rights with respect to the Rights
Offering. Pershing Square may receive additional shares through the
exercise of its over-subscription privilege. Because the
preliminary results indicate the Rights Offering was
over-subscribed, Pershing Square is not expected to purchase any
additional shares beyond those resulting from the exercise of its
pro rata subscription rights and the exercise of its
over-subscription privilege.
The shares of Common Stock to be issued at the closing of the
Rights Offering will be purchased at the subscription price of
$25.00 per whole share. The Company expects the Subscription Agent
to distribute the shares of Common Stock and the proceeds from the
Rights Offering on or about October 17, 2024, subject to customary
closing conditions.
The results of the Rights Offering are preliminary and subject
to change pending finalization of subscription procedures by the
Subscription Agent. The Company expects to file a Current Report on
Form 8-K on or about October 17, 2024 that will include the final
results of the Rights Offering.
If a subscription rights holder did not exercise its
subscription rights prior to the Expiration Date, such rights have
expired and are void and have no value. Subscription rights holders
who have participated in the Rights Offering should expect to see
the shares of Common Stock issued to them in uncertificated
book-entry form. Any excess subscription payments received by the
Subscription Agent will be returned by the Subscription Agent to
such subscription rights holder via check without interest or
deduction.
The Rights Offering was made pursuant to the Company’s
registration statement (including a prospectus) on Form S-1 that
was filed with the Securities and Exchange Commission (the “SEC”)
and declared effective on September 18, 2024, and a prospectus
filed with the SEC on September 23, 2024. This press release shall
not constitute an offer to sell or a solicitation of an offer to
buy any of the rights, Common Stock, or any other securities, nor
shall there be any offer, solicitation, or sale of the rights,
Common Stock or any other securities in any state or jurisdiction
in which such offer, solicitation or sale would be unlawful under
the securities laws of such state or jurisdiction. The Rights
Offering was made only by means of a prospectus, copies of which
were distributed to all eligible rights holders as of the record
date for the Rights Offering, and may be obtained free of charge at
the website maintained by the SEC at www.sec.gov.
Wells Fargo Securities acted as dealer manager in connection
with the Rights Offering.
About Seaport Entertainment Group (NYSE
American: SEG)
Seaport Entertainment Group (NYSE American: SEG) is a premier
entertainment and hospitality company formed to own, operate, and
develop a unique collection of assets positioned at the
intersection of entertainment and real estate. Seaport
Entertainment Group’s focus is to deliver unparalleled experiences
through a combination of restaurant, entertainment, sports, retail
and hospitality offerings integrated into one-of-a-kind real estate
that redefine entertainment and hospitality.
Safe Harbor and Forward-Looking
Statements
This press release includes forward-looking statements within
the meaning of the federal securities laws. Such forward-looking
statements include, but are not limited to, statements concerning
the Company’s plans, goals, objectives, outlook, expectations, and
intentions, including with respect to the Rights Offering and the
concurrent private placement, including the anticipated use of
proceeds. Forward-looking statements are based on the Company’s
current expectations and involve risks and uncertainties that could
cause actual results to differ materially from those expressed or
implied in such forward-looking statements. Factors that could
cause the Company’s results to differ materially from current
expectations include, but are not limited to: risks related to
macroeconomic conditions; changes in discretionary consumer
spending patterns or consumer tastes or preferences; risks
associated with the Company’s investments in real estate assets and
trends in the real estate industry; the Company’s ability to obtain
operating and development capital on favorable terms, or at all;
the Company’s ability to renew its leases or re-lease available
space; the Company’s ability to compete effectively; the Company’s
ability to successfully identify, acquire, develop, and manage
properties on terms that are favorable to it; the impact of
uncertainty around, and disruptions to, the Company’s supply chain;
risks related to the concentration of the Company’s properties in
Manhattan and the Las Vegas area; extreme weather conditions or
climate change that may cause property damage or interrupt
business; the impact of water and electricity shortages on the
Company’s business; the contamination of the Company’s properties
by hazardous or toxic substances; catastrophic events or
geopolitical conditions that may disrupt the Company’s business;
actual or threatened terrorist activity and other acts of violence,
or the perception of a heightened threat of such events; risks
related to the disruption or failure of information technology
networks and related systems; the Company’s ability to attract and
retain key personnel; the Company’s inability to control certain
properties due to the joint ownership of such property; the
significant influence Pershing Square has over the Company; the
ability to realize the anticipated benefits of the Rights Offering,
the financial and operating performance of the Company following
the Rights Offering; and the other factors detailed in the
Company’s Registration Statement filed on Form S-1 (Registration
No. 333-279690), and related prospectus, as well as other risks
discussed in the Company’s filings with the SEC from time to time.
The forward-looking statements contained in this press release
speak only as of the date hereof. The Company disclaims any duty to
update the information herein, except as required by law.
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Investor Relations: Seaport Entertainment Group Inc. T: (212)
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