Tag Archives: Evercore Partners

Business, Finance, Occupation & Industry

Kite Realty Group Trust Announces Pricing of Common Share Offering

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By Business Wirevia The Motley Fool

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Kite Realty Group Trust Announces Pricing of Common Share Offering

INDIANAPOLIS–(BUSINESS WIRE)– Kite Realty Group Trust (NYS: KRG) (the “Company”) announced today that it has priced its underwritten public offering of 13,500,000 of its common shares of beneficial interest (“Common Shares“) at a public offering price of $6.55 per share. The underwriters have been granted a 30-day option to purchase up to an additional 2,025,000 Common Shares. The Company estimates that the net proceeds from this offering, after deducting the underwriting discount and estimated offering expenses payable by the Company, will be approximately $84.6 million, or approximately $97.4 million if the underwriters’ option to purchase additional Common Shares is exercised in full.

The Company intends to use a portion of the net proceeds from this offering initially to repay approximately $62.2 million of outstanding indebtedness under the Company’s revolving credit facility and the remainder for the acquisition of properties. Such net proceeds that initially are used to repay outstanding indebtedness under the revolving credit facility are expected to be redeployed for other general corporate purposes, including the acquisition of properties and funding development costs.

The offering, which is subject to customary closing conditions, is expected to close on or about April 12, 2013.

BofA Merrill Lynch, KeyBanc Capital Markets, Citigroup and Wells Fargo Securities are serving as the joint book-running managers for this offering. J.P. Morgan and Raymond James are serving as the lead managers for this offering. Evercore Partners, The Huntington Investment Company and Stifel are serving as the co-managers for this offering.

The offering is being made pursuant to a shelf registration statement filed with the Securities and Exchange Commission, which became effective on January 11, 2012. A preliminary prospectus supplement relating to the offering has been filed with the Securities and Exchange Commission.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any state. The offering may be made only by means of a prospectus and related prospectus supplement. Copies of the prospectus supplement and the accompanying prospectus relating to these securities may be obtained from BofA Merrill Lynch, 222 Broadway, New York, New York 10038, Attn: Prospectus Department, or by email at dg.prospectus_requests@baml.com; from KeyBanc Capital Markets, Attention: Prospectus Delivery Department, 127 Public Square, 4th Floor, Cleveland, Ohio 44114; …read more

Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

The Dow Kicks Off Earnings Season: What Should You Expect?

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By Dan Carroll, The Motley Fool

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It seems as if last earnings season only just ended, but April brings the return of more quarterly reports from your favorite companies. This week launches the first two earnings reports of the Dow Jones Industrial Average‘s most recent quarter, giving investors a look at how aluminum manufacturer Alcoa and financial titan JPMorgan Chase have been performing. Just what should you be looking for from these two companies?

Alcoa struggles to keep up
Alcoa’s first up to bat on Monday, and investors anxiously await what’s coming. This stock‘s done terribly so far in 2013; it ranks as the second-worst year-to-date performance on the Dow, with shares down more than 8% since the start of the year. China‘s infrastructure slowdown and slumping aluminum prices haven’t helped Alcoa find its footing in a bad market, and weak demand has continued to hurt this company’s revenue. Raw-materials stocks like Alcoa are closely tied to the economy, and the slow recovery from the recession in many nations has kept pressure on the sector.

Alcoa management did predict 7% greater demand for aluminum in 2013, but don’t expect all of that amount to show up on Monday’s results. Average analyst projections expect the company to report earnings per share of $0.10 for the most recent quarter. That’s down $0.03 from earlier expectations, and with projections that revenue will fall more than 1% to $5.93 billion, many experts lack faith in any big surprise from Alcoa.

Until China‘s growth picks up and the U.S. economy accelerates, it looks as if it’ll be more of the same from the aluminum manufacturer. Leading economies simply are too sluggish right now to fuel optimism in Alcoa from Wall Street.

However, experts are far more optimistic about JPMorgan’s results, scheduled to be released Friday. Evercore Partners recently upgraded the bank stock from “equal weight” to “overweight,” and shares have gained more than 7% this year despite pressure over the “London Whale” losses and increased regulatory scrutiny.

JPMorgan dominated in its most recently quarterly earnings report, growing its profit by 53% last quarter en route to trouncing analyst projections. Analysts don’t expect that great of a success again, but they’re still betting on increased earnings. Average Wall Street projections peg earnings per share of $1.39 this quarter, an amount that would represent year-over-year EPS growth of more than 16% over 2012’s Q1 EPS mark of $1.19. Experts polled by Thomson Reuters expect falling revenue, but that’s to be expected after the London Whale incident cost the company more than $6 billion.

Rising and falling
In this tale of two stocks, Alcoa’s facing tough sledding ahead, with the economy still in recovery mode. Meanwhile, JPMorgan’s near-term future looks a lot brighter. While smart investors know to invest for the long term, the type of time window that mostly ignores the ups and downs of quarterly reports, it’s always a good thing to check in on how your portfolio’s doing. Will Alcoa …read more

Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

Why Oracle Shares Got Crushed

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By Evan Niu, CFA, CFA, The Motley Fool

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Although we don’t believe in timing the market or panicking over market movements, we do like to keep an eye on big changes — just in case they’re material to our investing thesis.

What: Shares of Oracle have gotten crushed today by as much as 10%, after the enterprise software specialist reported worse-than-expected earnings.

So what: Revenue in the fiscal third quarter was $9 billion, which didn’t compare favorably to the $9.4 billion in revenue that analysts were expecting. Non-GAAP earnings per share were up moderately, at $0.65, which was also a little short of the $0.66 per share adjusted profit that investors were expecting. Oracle President Mark Hurd said software-as-a-service, or SaaS, revenue more than doubled.

Now what: The company blamed the soft results on aggressive expansion of its sales force, which included many inexperienced representatives that led to poor execution. Oracle has added over 4,000 new sales reps over the past 18 months. Several analysts have downgraded Oracle following the results, including Evercore Partners and Credit Agricole. Guidance for the coming quarter calls for adjusted earnings per share of $0.85 to $0.91, compared to the $0.88 per share that the Street is modeling for.

Interested in more info on Oracle? Add it to your watchlist by clicking here.

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The article Why Oracle Shares Got Crushed originally appeared on Fool.com.

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Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

Dell Buyout Finally Arrives: Takeunder M&A for Many Holders

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By 24/7 Wall St.

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Dell HQDell Inc. (NASDAQ: DELL) has finally announced that it has signed a definitive merger agreement under which founding CEO Michael Dell will acquire the company in partnership with global technology investment firm Silver Lake Partners. Dell stockholders will receive $13.65 in cash per share of Dell. The total transaction is being valued at approximately $24.4 billion.

Investors will be happy if they bought shares during the weakest part of the past few months. Other than that, this management buyout is effectively a “takeunder” rather than a takeover for many Dell shareholders. Dell does maintain that this represents a premium of 25% over Dell’s closing share price of $10.88 on January 11, 2013, as the last trading day before rumors of a possible going-private transaction were first published. It is also listed as a premium of about 35% over Dell’s enterprise value on the same date. As far as the premium for the longer near-term, this represents a 37% premium over the average closing share price during the previous 90 calendar days prior to January 11, 2013.

The Dell board of directors unanimously approved a merger agreement under which Michael Dell and Silver Lake Partners will acquire Dell and take the company private, subject to a number of conditions. A vote of the unaffiliated stockholders is one condition. Dell’s merger agreement provides for a so-called 45-day “go-shop” period, allowing the Special Committee, along with Evercore Partners, to “actively solicit, receive, evaluate and potentially enter into negotiations with parties that offer alternative proposals.”

The transaction is amazingly not subject to financing conditions. The financing will come through a combination of cash and equity contributed by Mr. Dell’s 14% stake as of now, cash funded by investment funds affiliated with Silver Lake Partners, cash invested by MSD Capital, a $2 billion loan from Microsoft Corp. (NASDAQ: MSFT), rollover of existing debt, as well as debt financing that has been committed by BofA Merrill Lynch, Barclays, Credit Suisse and RBC Capital Markets, and cash on hand.

A successful competing bidder who makes a qualifying proposal during the initial go-shop period would bear a $180 million (less than 1%) termination fee. For a competing bidder who did not qualify during the initial go-shop period, the termination fee would be $450 million.

This deal has been in the works for about three weeks now, and it really started last year, if you read into the press release. Dell shares are up less than 1% at $13.39 on the deal and its 52-week trading range is $8.69 to $18.36.

Filed under: 24/7 Wall St. Wire, Active Trader, Consumer Electronics, Mergers & Acquisitions, Mergers and Buy Outs, PC Companies, Private Equity, Technology, Technology Companies Tagged: DELL, MSFT

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Source: FULL ARTICLE at DailyFinance