Breaking News: CTO Realty Growth, Inc. Launches $24.5 Million Offering Program for Preferred Stock
CTO Realty Growth, Inc. (NYSE:CTO), a real estate investment trust, has announced a new at-the-market offering program. The company aims to raise up to $24.5 million through the periodic sale of its 6.37% Series A Cumulative Redeemable Preferred Stock, priced at $25 per share.
The preferred shares will be sold by sales agents like BMO Capital Markets Corp. and B. Riley Securities, Inc., who are authorized to sell on the New York Stock Exchange at market or negotiated prices. These agents will receive a commission of up to 2% of the gross sales price for each share sold.
The offering will be conducted under a prospectus supplement and base prospectus filed with the SEC. CTO Realty Growth, based in Winter Park, Florida, plans to utilize the proceeds for various corporate purposes, though specifics were not disclosed.
In recent months, the company has shown strong performance with significant leasing activity and investment prospects. CTO Realty Growth ended the second quarter with a physical occupancy rate of 92.6% and leased occupancy of 94.6%. The company has revised its 2024 investment outlook to between $200 million and $250 million, with an increase in core FFO guidance by 12% and AFFO by 11%.
InvestingPro Insights:
- Market cap: $437.9 million
- P/E ratio: 38
- Revenue growth: 19.62% in the last twelve months
InvestingPro Tips suggest that CTO Realty Growth's high earnings multiple reflects market optimism about its growth potential. The company has maintained dividend payments for 49 consecutive years, with a current yield of 8.22%, appealing to dividend investors. With a fair value estimate of $23.12, there may be room for share price growth.
In conclusion, CTO Realty Growth's offering program and strong financial metrics provide valuable insights for investors. Understanding the company's performance and potential can guide investment decisions and present opportunities for growth in the market.