NEW YORK--(BUSINESS WIRE)--Rouse Properties, Inc. (NYSE: RSE) (“Rouse” or the “Company”) announced today the expiration of the subscription period for its previously announced $200 million rights offering. The subscription period for the rights offering expired at 5:00 p.m., New York City time, on March 16, 2012. Based on preliminary results received from American Stock Transfer & Trust Company, LLC, the subscription agent for the rights offering, stockholders, including an affiliate of Brookfield Asset Management Inc. and certain of its consortium partners (“Brookfield”), exercised subscription rights to purchase 6,981,376 shares of Rouse’s common stock at a subscription price of $15.00 per share.
The remaining 6,351,957 shares of Rouse common stock will be purchased by Brookfield at the $15.00 per share subscription price, subject to the terms and conditions of the previously announced backstop agreement between Brookfield and the Company. Based on the preliminary subscription results, Brookfield is expected to beneficially own approximately 54% of Rouse’s outstanding common stock after giving effect to the rights offering and the backstop purchase. Rouse will receive $200 million in aggregate gross proceeds from the consummation of the rights offering and backstop purchase.
The closing of the rights offering and the backstop purchase are expected to occur on or about March 26, 2012.
About Rouse Properties, Inc.
Rouse is a publicly traded real estate investment trust headquartered in New York City and founded on a legacy of innovation and creativity. Among the country's largest publicly traded regional mall owners, the Company's geographically diverse portfolio spans the United States from coast to coast, and includes 31 malls in 19 states encompassing approximately 22 million square feet of space. For more information, visit rouseproperties.com.
This press release contains “forward-looking statements” within the meaning of federal securities laws, including statements regarding expectations that are not historical facts. Rouse cautions that these statements are not guarantees of future performance and are subject to numerous risks and uncertainties, including changes in market conditions, unanticipated developments, competitive conditions, and other risk factors that Rouse identifies in the filings that it makes with the Securities and Exchange Commission from time to time. Any of these factors could cause actual results to differ materially from the expectations expressed or implied in this press release. Except as required by law, Rouse undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.