Omega Healthcare Investors Inc. said Tuesday it plans to offer 8 million shares of common stock in hopes of raising nearly $345 million.
The money would go toward the redemption of $210 million in outstanding notes and repayment of $85 million in other borrowings, according to SEC filings this week. The Hunt Valley firm, which leases real estate to long-term care operators, based its estimates on a stock price of about $43.13.
Its stock closed Wednesday at $42.76, down 88 cents a share.
Omega's portfolio at the end of September included more than 560 skilled nursing, assisted living and specialty facilities in 37 states. If a proposed merger with Chicago-based Aviv goes through, it would have more than 800 properties. Omega shareholders are scheduled to vote on the deal in March.
The firm reported income of an estimated $221 million in 2014, up from $172.5 million in 2013. Its 2014 funds from operations, a measure preferred by real estate investment trusts, exceeded $345 million, up from $302.7 million in 2013.