Business & Finance
Business and Finance
Business and Finance
Wed, October 6, 2010
Tue, October 5, 2010 Chesapeake Lodging Trust Announces Proposed Public Offering of 6,500,000 Common Shares
ANNAPOLIS, Md.--([ BUSINESS WIRE ])--Chesapeake Lodging Trust (NYSE: CHSP) (the "Company") today announced that it is commencing an underwritten public offering of 6,500,000 common shares. The Company expects to grant the underwriters a 30-day option to purchase up to 975,000 additional common shares to cover overallotments, if any.
J.P. Morgan Securities LLC, Deutsche Bank Securities Inc. and Wells Fargo Securities, LLC are the joint book-running managers for the offering, with Robert W. Baird & Co. Incorporated, KeyBanc Capital Markets Inc., FBR Capital Markets & Co. and RBC Capital Markets Corporation acting as co-managers.
The Company intends to use the net proceeds of the offering to repay debt under its revolving credit facility, for hotel investments and for general business purposes.
A registration statement relating to these common shares has been filed with the U.S. Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This announcement shall not constitute an offer to sell or a solicitation of an offer to buy the Company's common shares, nor shall there be any sale of these common shares or a solicitation of an offer to buy these common shares in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.
The offering will be made only by means of a prospectus. A prospectus relating to these common shares, when available, may be obtained from J.P. Morgan Securities LLC, Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, (866) 803 9204; Deutsche Bank Securities Inc., Attn: Prospectus Department, 100 Plaza One, Jersey City, NJ 07311, Telephone number: +1-800-503-4611, email: [ prospectus.cpdg@db.com ]; andWells Fargo Securities, LLC, Attn: Equity Syndicate Dept., 375 Park Avenue, New York, NY 10152, at 1-800-326-5897 or email a request to [ equity.syndicate@wellsfargo.com ].
ABOUT CHESAPEAKE LODGING TRUST
Chesapeake Lodging Trust is a self-advised lodging real estate investment trust (REIT) focused on investments primarily in upper-upscale hotels in major business, airport and convention markets and, on a selective basis, premium select-service hotels in urban settings or unique locations in the United States. The Company owns four hotel properties with an aggregate of 1,269 rooms in two states. Additional information can be found on the Companya™s website at [ www.chesapeakelodgingtrust.com ].
Certain statements and assumptions in this press release contain or are based upon "forward-looking" information and are being made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties. When we use the words "will likely result," "may," "anticipate," "estimate," "should," "expect," "believe," "intend," or similar expressions, we intend to identify forward-looking statements. Such forward-looking statements include, but are not limited to, the timing of the offering and amount of shares to be offered and contemplated use of proceeds. Such statements are subject to numerous assumptions and uncertainties, many of which are outside Chesapeake Lodging Trust's control. The company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements that may be made to reflect any future events or circumstances, except as required by law.
