VICI Properties Announces $1.3 Billion Senior Unsecured Notes Offering
NEW YORK–(Business Wire)–VICI Properties Inc. (NYSE: VICI) (“VICI Properties” or the “Company”), a real estate investment trust engaged in the ownership, operation, and management of income-producing gaming and hospitality destinations in the United States, announced today that its subsidiary, VICI Properties L.P. (the “Issuer”), has priced a public offering of $1.3 billion in aggregate principal amount of senior unsecured notes (the “Notes”).
Details of the Offering
The offering consists of:
- $400 million aggregate principal amount of 4.750% senior unsecured notes due 2028 (the “2028 Notes”).
- $900 million aggregate principal amount of 5.625% senior unsecured notes due 2033 (the “2033 Notes”).
The 2028 Notes will be issued at 99.729% of par value and will mature on April 1, 2028. The 2033 Notes will be issued at 99.352% of par value and will mature on April 1, 2033.
Impact on VICI Properties
The net proceeds from the offering are expected to be approximately $1.27 billion after deducting underwriting discounts and commissions and estimated offering expenses. VICI Properties intends to use the net proceeds from the offering to pay down outstanding indebtedness under its revolving credit facility and for general corporate purposes.
Impact on Individual Investors
Individual investors may not be directly affected by this offering as it is targeted towards institutional investors. However, the offering may impact the overall market for VICI Properties stock, potentially influencing its price and trading volume.
Impact on the World
This offering is a reflection of the continued strong demand for corporate debt in the market. With interest rates remaining low, companies are able to issue debt at attractive rates, providing them with additional capital to invest in their businesses and potentially fueling economic growth.
Conclusion
VICI Properties’ announcement of a $1.3 billion senior unsecured notes offering is a significant development for the company as it seeks to strengthen its balance sheet and reduce its debt load. While individual investors may not be directly impacted by this offering, it serves as a reminder of the continued strong demand for corporate debt in the current market environment.
Additionally, the offering highlights the potential benefits of low interest rates for companies, enabling them to access capital at attractive rates and invest in their businesses, which in turn can contribute to economic growth.
As always, investors should carefully consider their individual investment objectives and financial situation before making any investment decisions.
